EXHIBIT 12
THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
| Amounts in millions | Years Ended June 30 | Three Months Ended September 30 | |||||||||||||||||||
| 2009(1) | 2008(1) | 2007(1) | 2006(1) | 2005(1) | 2009(2) | 2008(2) | |||||||||||||||
EARNINGS, AS DEFINED | |||||||||||||||||||||
Earnings from operations before income taxes and before adjustments for minority interests in consolidated subsidiaries and after eliminating undistributed earnings of equity method investees | $ | 15,372 | $ | 15,674 | $ | 14,299 | $ | 12,087 | $ | 9,512 | $ | 4,162 | $ | 4,292 | |||||||
Fixed charges (excluding capitalized interest) | 1,567 | 1,604 | 1,428 | 1,242 | 924 | 355 | 406 | ||||||||||||||
TOTAL EARNINGS, AS DEFINED | $ | 16,939 | $ | 17,278 | $ | 15,727 | $ | 13,329 | $ | 10,436 | $ | 4,517 | $ | 4,698 | |||||||
FIXED CHARGES, AS DEFINED | |||||||||||||||||||||
Interest expense (including capitalized interest) | $ | 1,431 | $ | 1,546 | $ | 1,374 | $ | 1,153 | $ | 869 | $ | 341 | $ | 398 | |||||||
1/3 of rental expense | 177 | 137 | 124 | 122 | 90 | 44 | 34 | ||||||||||||||
TOTAL FIXED CHARGES, AS DEFINED | $ | 1,608 | $ | 1,683 | $ | 1,498 | $ | 1,275 | $ | 959 | $ | 385 | $ | 432 | |||||||
RATIO OF EARNINGS TO FIXED CHARGES | 10.5x | 10.3x | 10.5x | 10.5x | 10.9x | 11.7x | 10.9x | ||||||||||||||
| (1) | Amounts include the results of the Pharmaceuticals business. |
| (2) | Amounts exclude the results of the Pharmaceuticals business, separately presented in the Consolidated Financial Statements as discontinued operations. |