Exhibit 12
Abbott Laboratories
Computation of Ratio of Earnings to Fixed Charges
(Unaudited)
(dollars in millions except ratio)
|
| Nine Months Ended |
| |
Earnings from Continuing Operations |
| $ | 2,201 |
|
Add (deduct): |
|
|
| |
Taxes on earnings from continuing operations |
| 769 |
| |
Capitalized interest cost, net of amortization |
| 4 |
| |
Minority interest |
| 8 |
| |
|
|
|
| |
Earnings from Continuing Operations as adjusted |
| $ | 2,982 |
|
|
|
|
| |
Fixed Charges: |
|
|
| |
Interest on long-term and short-term debt |
| 143 |
| |
Capitalized interest cost |
| 7 |
| |
Rental expense representative of an interest factor |
| 44 |
| |
|
|
|
| |
Total Fixed Charges |
| 194 |
| |
|
|
|
| |
Total adjusted earnings available for payment of fixed charges |
| $ | 3,176 |
|
|
|
|
| |
Ratio of earnings to fixed charges |
| 16.4 |
| |
NOTE: For the purpose of calculating this ratio, (i) earnings have been calculated by adjusting earnings from continuing operations for taxes on earnings from continuing operations; interest expense; capitalized interest cost, net of amortization; minority interest; and the portion of rentals representative of the interest factor, (ii) Abbott considers one-third of rental expense to be the amount representing return on capital, and (iii) fixed charges comprise total interest expense, including capitalized interest and such portion of rentals.
