PepsiCo (PEP) 10-Q 2011 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
	6/11/11			6/12/10
Earnings:
Income before income taxes	$	4,138		$	3,701
Unconsolidated affiliates interests, net		(35	)		22
Amortization of capitalized interest		1			2
Interest expense(a)		379			326
Interest portion of rent expense(b)		86			67
Earnings available for fixed charges	$	4,569		$	4,118
Fixed Charges:
Interest expense(a)	$	379		$	326
Capitalized interest		5			3
Interest portion of rent expense(b)		86			67
Total fixed charges	$	470		$	396
Ratio of Earnings to Fixed Charges(c)		9.73			10.41

^(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.