EXHIBIT 12
PEPSICO, INC. AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges
(in millions except ratio amounts, unaudited)
24 Weeks Ended | |||||||
6/12/10 | 6/13/09 | ||||||
Earnings: | |||||||
Income before income taxes | $ | 3,701 | $ | 3,751 | |||
Unconsolidated affiliates interests, net | 22 | (144 | ) | ||||
Amortization of capitalized interest | 2 | 2 | |||||
Interest expense(a) | 326 | 199 | |||||
Interest portion of rent expense(b) | 67 | 58 | |||||
Earnings available for fixed charges | $ | 4,118 | $ | 3,866 | |||
Fixed Charges: | |||||||
Interest expense(a) | $ | 326 | $ | 199 | |||
Capitalized interest | 3 | 2 | |||||
Interest portion of rent expense(b) | 67 | 58 | |||||
Total fixed charges | $ | 396 | $ | 259 | |||
Ratio of Earnings to Fixed Charges(c) | 10.41 | 14.96 | |||||
(a) | Excludes interest related to our reserves for income taxes as such interest is included in provision for income taxes. |
(b) | One-third of net rent expense is the portion deemed representative of the interest factor. |
(c) | Based on unrounded amounts. |