Bristol-Myers Squibb (BMY) 10-Q 2017 Q2 Quarterly report

EXHIBIT 12.

Computation of Earnings to Fixed Charges

Ratio of Earnings to Fixed Charges:	Six Months Ended   June 30, 2017			Year Ended December 31,
				2016		2015		2014		2013
Dollars in Millions
Earnings
Earnings from continuing operations before income taxes	$	3,250		$	5,915	$	2,077	$	2,381	$	2,891
Less:
Noncontrolling interest in pretax income/(loss) of
subsidiaries that have not incurred fixed charges	(70		)	16		51		38		36
Equity in net income of affiliates	38			77		83		107		166
Capitalized interest	7			10		2		3		—
Adjusted Income	3,275			5,812		1,941		2,233		2,689
Add:
Fixed charges	125			226		231		254		255
Distributed income of equity investments	47			99		105		153		149
Total Earnings	$	3,447		$	6,137	$	2,277	$	2,640	$	3,093
Fixed Charges
Interest expense	$	97		$	167	$	184	$	203	$	199
Capitalized interest	7			10		2		3		—
One-third of rental expense(1)	21			49		45		48		56
Total Fixed Charges	$	125		$	226	$	231	$	254	$	255
Ratio of Earnings to Fixed Charges	27.58			27.15		9.86		10.39		12.13

⁽¹⁾Rents included in the computation consist of one-third of rental expense which the Company believes to be a reasonable estimate of an interest factor in its leases.

E-12-1