EXHIBIT 12 PEPSICO, INC. AND SUBSIDIARIES Computation of Ratio of Earnings to Fixed Charges (in millions except ratio amounts, unaudited) 36 Weeks Ended ---------------- 9/5/98 9/6/97 ------- ------- Earnings: (a) Income from continuing operations before income taxes.......... $2,075 $1,642 Joint ventures and minority interests, net............... 1 (34) Amortization of capitalized interest..................... 5 3 Interest expense.............. 241 358 Interest portion of rent expense (b).......................... 31 35 ------- ------- Earnings available for fixed charges...................... $2,353 $2,004 ======= ======= Fixed Charges: Interest expense.............. $ 241 $ 358 Capitalized interest.......... 8 8 Interest portion of rent expense (b).......................... 31 35 ------- ------- Total fixed charges......... $ 280 $ 401 ======= ======= Ratio of Earnings to Fixed Charges....................... 8.40 5.00 ======= ======= (a) Included $304 of unusual charges in 1997. Excluding the unusual charges, the ratio of earnings to fixed charges for the 36 Weeks ended September 6, 1997 would have been 5.76. (b) One-third of net rent expense is the portion deemed representative of the interest factor. -29-