EXHIBIT 12
PEPSICO, INC. AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Years Ended December 30, 1995, December 31, 1994, December 25, 1993,
December 26, 1992 and December 28, 1991
(in millions except ratio amounts)
52 Weeks 53 Weeks 52 Weeks
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1995 1994 1993 1992 1991(a)
------ ------ ------ ------ -------
Earnings:
Income from continuing
operations before income
taxes and cumulative
effect of accounting
changes .............. $2,432 $2,664 $2,423 $1,899 $1,660
Joint ventures and minority
interests, net (b)....... 11 (19) (6) (1) (6)
Amortization of
capitalized interest..... 6 5 5 5 5
Interest expense ......... 682 645 573 586 614
Interest portion of net
rent expense (c)......... 156 150 134 122 103
------ ------ ------ ------ ------
Earnings available for
fixed charges............ $3,287 $3,445 $3,129 $2,611 $2,376
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Fixed Charges:
Interest expense ......... $ 682 $ 645 $ 573 $ 586 $ 614
Capitalized interest...... 10 5 7 7 10
Interest portion of net
rent expense (c)......... 156 150 134 122 103
------ ------ ------ ------ ------
Total fixed charges.... $ 848 $ 800 $ 714 $ 715 $ 727
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Ratio of Earnings
to Fixed Charges......... 3.88 4.31 4.38 3.65 3.27
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(a) To improve comparability, the 1991 amounts have been restated to report,
under the equity method of accounting, the results of previously
consolidated snack food businesses in Spain, Portugal and Greece, which
were contributed to the new Snack Ventures Europe joint venture with
General Mills, Inc. in late 1992.
(b) Prior year amounts have been restated to adjust for the effects of joint
ventures and minority interests. The inclusion of these items did not have
a material impact on the previously reported ratio of earnings to fixed
charges.
(c) One-third of net rent expense is the portion deemed representative of the
interest factor.