Abbott Laboratories (ABT) 10-Q 2017 Q2 Quarterly report

Exhibit 12

Abbott Laboratories and Subsidiaries

Computation of Ratio of Earnings to Fixed Charges

(Unaudited)

(dollars in millions)

	Six Months Ended
	June 30, 2017
Earnings from Continuing Operations	$	656
Add (deduct):
Taxes on earnings	375
Capitalized interest cost, net of amortization	(6		)
Noncontrolling interests	8
Earnings from Continuing Operations, as adjusted	1,033
Fixed Charges:
Interest on long-term and short-term debt	440
Capitalized interest cost	14
Rental expense representative of an interest factor	57
Total Fixed Charges	511
Total adjusted earnings available for payment of fixed charges	$	1,544
Ratio of earnings to fixed charges	3.0

NOTE:   For the purpose of calculating this ratio, (i) earnings from continuing operations have been calculated by adjusting earnings for taxes on earnings; interest expense; capitalized interest cost, net of amortization; noncontrolling interests; 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.