Exhibit 12 John Deere Capital Corporation and Subsidiaries Computation of Ratio of Earnings to Fixed Charges (dollars in thousands) Nine Months Ended 31 July ------------------------- 1997 1996 ----------- ------------ Earnings: Income before income taxes and changes in accounting $149,742 $157,567 Fixed charges 239,501 202,866 -------- -------- Total earnings $389,243 $360,433 ======== ======== Fixed charges: Interest expense $236,734 $200,728 Rent expense 2,767 2,138 -------- -------- Total fixed charges $239,501 $202,866 ======== ======== Ratio of earnings to fixed charges * 1.63 1.78 ======== ======== For the Years Ended October 31 -------------------------------------------- 1996 1995 1994 1993 1992 -------- -------- -------- -------- -------- Earnings: Income before income taxes and changes in accounting $206,588 $175,360 $161,809 $169,339 $142,920 Fixed charges 276,726 240,913 168,507 170,226 191,930 -------- -------- -------- -------- -------- Total earnings $483,314 $416,273 $330,316 $339,565 $334,850 ======== ======== ======== ======== ======== Fixed charges: Interest expense $273,748 $238,445 $166,591 $167,787 $189,288 Rent expense 2,978 2,468 1,916 2,439 2,642 -------- -------- -------- -------- -------- Total fixed charges $276,726 $240,913 $168,507 $170,226 $191,930 ======== ======== ======== ======== ======== Ratio of earnings to fixed charges * 1.75 1.73 1.96 1.99 1.74 ======== ======== ======== ======== ======== - --------- "Earnings" consist of income before income taxes, the cumulative effect of changes in accounting and fixed charges. "Fixed charges" consist of interest on indebtedness, amortization of debt discount and expense, an estimated amount of rental expense under capitalized leases which is deemed to be representative of the interest factor and rental expense under operating leases. * The Company has not issued preferred stock. Therefore, the ratios of earnings to combined fixed charges and preferred stock dividends are the same as the ratios presented above. Page 15