EXHIBIT 12
PEPSICO, INC. AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges (c)
(in millions except ratio amounts, unaudited)
36 Weeks Ended
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9/4/99 9/5/98
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Earnings: (a)
Income before income taxes.................... $2,933 $2,075
Joint ventures and minority interests, net.... (67) 1
Amortization of capitalized interest.......... 3 5
Interest expense.............................. 300 241
Interest portion of rent expense (b).......... 35 31
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Earnings available for fixed charges.......... $3,204 $2,353
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Fixed Charges:
Interest expense............................... $ 300 $ 241
Capitalized interest........................... 5 8
Interest portion of rent expense (b)........... 35 31
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Total fixed charges.......................... $ 340 $ 280
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Ratio of Earnings to Fixed Charges............. 9.44 8.40
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(a) Includes an impairment and restructuring charge and gain on bottling
transactions in 1999. Excluding the charge and the gain, the ratio of
earnings to fixed charges for the 36 weeks ended September 4, 1999 would
have been 6.68.
(b) One-third of net rent expense is the portion deemed representative of the
interest factor.
(c) Based on unrounded amounts.
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