EXHIBIT (12)
THE PROCTER & GAMBLE COMPANY AND SUBSIDIARIES
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COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
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Amounts in millions
Six Months Ended
Years Ended June 30 December 31
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1998 1999 2000 2001 2002 2001 2002
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EARNINGS AS DEFINED
Earnings from operations before income taxes
after eliminating undistributed earnings
of equity method investees $ 5,704 $ 5,866 $ 5,474 $ 4,574 $ 6,442 $ 3,520 $ 4,403
Fixed charges 639 751 811 872 687 348 331
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TOTAL EARNINGS, AS DEFINED $ 6,343 $ 6,617 $ 6,285 $ 5,446 $ 7,129 $ 3,868 $ 4,734
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FIXED CHARGES, AS DEFINED
Interest expense $ 548 $ 650 $ 792 $ 794 $ 603 $ 307 $ 287
1/3 of rental expense 91 101 89 78 84 41 44
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TOTAL FIXED CHARGES AS DEFINED $ 639 $ 751 $ 881 $ 872 $ 687 $ 348 $ 331
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RATIO OF EARNINGS TO FIXED CHARGES 9.9 8.8 7.1 6.2 10.4 11.1 14.3