PepsiCo (PEP) 10-Q 2006 Q2 Quarterly report

EXHIBIT 12

PEPSICO, INC. AND SUBSIDIARIES

Computation of Ratio of Earnings to Fixed Charges

(in millions except ratio amounts, unaudited)

	24 Weeks Ended
	6/17/06			6/11/05
Earnings:
Income before income taxes	$	3,320		$	2,972
Unconsolidated affiliates interests, net		(153	)		(117	)
Amortization of capitalized interest		1			4
Interest expense		121			103
Interest portion of rent expense(a)		37			40
Earnings available for fixed charges	$	3,326		$	3,002
Fixed Charges:
Interest expense	$	121		$	103
Capitalized interest		6			3
Interest portion of rent expense(a)		37			40
Total fixed charges	$	164		$	146
Ratio of Earnings to Fixed Charges(b)		20.28			20.58

^(a) One-third of net rent expense is the portion deemed representative of the interest factor.

^(b) Based on unrounded amounts.