Exhibit (12)
Pitney Bowes Inc.
Computation of Ratio of Earnings to Fixed Charges (1)
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(Dollars in thousands)
Three Months Ended Nine Months Ended
September 30, September 30,
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1999 1998(2) 1999 1998(2)
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Income from continuing operations
before income taxes........................... $ 279,037 $ 201,024 $ 722,147 $ 588,898
Add:
Interest expense............................. 42,917 39,991 137,084 118,687
Portion of rents
representative of the
interest factor........................... 10,029 10,935 31,223 33,216
Amortization of capitalized
interest.................................. 244 244 730 730
Minority interest in the
income of subsidiary
with fixed charges........................ 3,061 3,074 8,726 9,203
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Income as adjusted.............................. $ 335,288 $ 255,268 $ 899,910 $ 750,734
============ ============ ============ ===========
Fixed charges:
Interest expense............................. $ 42,917 $ 39,991 $ 137,084 $ 118,687
Portion of rents
representative of the
interest factor........................... 10,029 10,935 31,223 33,216
Minority interest, excluding
taxes, in the income of
subsidiary with fixed charges............. 4,592 4,652 13,073 13,967
------------ ------------ ------------ -----------
Total fixed charges.......................... $ 57,538 $ 55,578 $ 181,380 $ 165,870
============ ============ ============ ===========
Ratio of earnings to
fixed charges................................ 5.83 4.59 4.96 4.53
============ ============ ============ ===========
Ratio of earnings to fixed
charges excluding minority
interest..................................... 6.27 4.95 5.29 4.88
============ ============ ============ ===========
<FN>
(1) The computation of the ratio of earnings to fixed charges has been
computed by dividing income from continuing operations before income
taxes as adjusted by fixed charges. Included in fixed charges is
one-third of rental expense as the representative portion of interest.
(2) Amounts recomputed to reflect discontinued operations.
</FN>