The Procter & Gamble Company (PG) 10-Q 2011 Q2 Quarterly report

EXHIBIT 12

THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

	Years Ended June 30										Six Months Ended December 31
Amounts in millions	2010		2009		2008		2007		2006		2010		2009
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	$	15,169	$	14,461	$	14,927	$	13,698	$	11,658	$	8,510	$	8,824
Fixed charges (excluding capitalized interest and including amortization of capitalized interest)		1,167		1,576		1,640		1,458		1,268		526		623
TOTAL EARNINGS, AS DEFINED	$	16,336	$	16,037	$	16,567	$	15,156	$	12,926	$	9,036	$	9,447
FIXED CHARGES, AS DEFINED
Interest expense (including capitalized interest)	$	1,014	$	1,431	$	1,546	$	1,374	$	1,153	$	445	$	546
1/3 of rental expense		176		177		137		124		122		84		89
TOTAL FIXED CHARGES, AS DEFINED	$	1,190	$	1,608	$	1,683	$	1,498	$	1,275	$	529	$	635
RATIO OF EARNINGS TO FIXED CHARGES		13.7x		10.0x		9.8x		10.1x		10.1x		17.1x		14.9x