Bristol-Myers Squibb (BMY) 10-Q 2018 Q3 Quarterly report

EXHIBIT 12.

Computation of Earnings to Fixed Charges

Ratio of Earnings to Fixed Charges:	Nine Months Ended   September 30, 2018		Year Ended December 31,
Dollars in Millions			2017			2016		2015		2014
Earnings
Earnings from continuing operations before income taxes	$	4,463	$	5,131		$	5,915	$	2,077	$	2,381
Less:
Noncontrolling interest in pretax income/(loss) of
subsidiaries that have not incurred fixed charges	7		(63		)	16		51		38
Equity in net income of affiliates	73		75			77		83		107
Capitalized interest	15		15			10		2		3
Adjusted Income	4,368		5,104			5,812		1,941		2,233
Add:
Fixed charges	185		252			226		231		254
Distributed income of equity investments	73		98			99		105		153
Total Earnings	$	4,626	$	5,454		$	6,137	$	2,277	$	2,640
Fixed Charges
Interest expense	$	135	$	196		$	167	$	184	$	203
Capitalized interest	15		15			10		2		3
One-third of rental expense(a)	35		41			49		45		48
Total Fixed Charges	$	185	$	252		$	226	$	231	$	254
Ratio of Earnings to Fixed Charges	25.01		21.64			27.15		9.86		10.39

(a) 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