EXHIBIT 12
THE BEAR STEARNS COMPANIES INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(IN THOUSANDS, EXCEPT FOR RATIO)
Fiscal Year Fiscal Year Fiscal Year Five-Months Fiscal Year Fiscal Year
Ended Ended Ended Ended Ended Ended
November 30, 2002 November 30, 2001 November 30, 2000 November 26, 1999 June 30, 1999 June 30, 1998
----------------- ----------------- ----------------- ----------------- ------------- -------------
Earnings before
taxes on income $ 1,310,963 $ 934,444 $ 1,171,523 $ 453,592 $ 1,064,108 $ 1,063,492
----------------- ----------------- ----------------- ----------------- ------------- -------------
Add: Fixed Charges
Interest 1,762,580 3,793,998 4,772,286 1,524,046 3,344,190 3,622,629
Interest factor
in rents 37,735 33,500 32,200 12,783 31,363 30,130
----------------- ----------------- ----------------- ----------------- ------------- -------------
Total fixed
charges 1,800,315 3,827,498 4,804,486 1,536,829 3,375,553 3,652,759
----------------- ----------------- ----------------- ----------------- ------------- -------------
Earnings before
fixed charges
and taxes
on income $ 3,111,278 $ 4,761,942 $ 5,976,009 $ 1,990,421 $ 4,439,661 $ 4,716,251
================= ================= ================= ================= ============= =============
Ratio of earnings
to fixed charges 1.7 1.2 1.2 1.3 1.3 1.3
================= ================= ================= ================= ============= =============
EXHIBIT 12
THE BEAR STEARNS COMPANIES INC.
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED DIVIDENDS
(IN THOUSANDS, EXCEPT FOR RATIO)
Fiscal Year Fiscal Year Fiscal Year Five-Months Fiscal Year Fiscal Year
Ended Ended Ended Ended Ended Ended
November 30, 2002 November 30, 2001 November 30, 2000 November 26, 1999 June 30, 1999 June 30, 1998
----------------- ----------------- ----------------- ----------------- ------------- -------------
Earnings before
taxes on income $ 1,310,963 $ 934,444 $ 1,171,523 $ 453,592 $ 1,064,108 $ 1,063,492
----------------- ----------------- ----------------- ----------------- ------------- -------------
Add: Fixed Charges
Interest 1,762,580 3,793,998 4,772,286 1,524,046 3,344,190 3,622,629
Interest factor
in rents 37,735 33,500 32,200 12,783 31,363 30,130
----------------- ----------------- ----------------- ----------------- ------------- -------------
Total fixed
charges 1,800,315 3,827,498 4,804,486 1,536,829 3,375,553 3,652,759
----------------- ----------------- ----------------- ----------------- ------------- -------------
Earnings before
fixed charges
and taxes
on income $ 3,111,278 $ 4,761,942 $ 5,976,009 $ 1,990,421 $ 4,439,661 $ 4,716,251
================= ================= ================= ================= ============= =============
Preferred stock
dividends $ 35,606 $ 39,113 $ 39,113 $ 16,297 $ 39,430 $ 31,012
Ratio of income
before provision
for income taxes
to net income * 149% 151% 152% 159% 158% 161%
----------------- ----------------- ----------------- ----------------- ------------- -------------
Preferred dividend
factor on pretax
basis 53,142 59,074 59,264 25,863 62,340 49,939
Total fixed
charges and
preferred
dividends $ 1,853,457 $ 3,886,572 $ 4,863,750 $ 1,562,692 $ 3,437,893 $ 3,702,698
================= ================= ================= ================= ============= =============
Ratio of earnings
to fixed charges
and preferred
stock dividends 1.7 1.2 1.2 1.3 1.3 1.3
================= ================= ================= ================= ============= =============
* Represents income before provision for income taxes divided by net income, which adjusts dividends on preferred stock to a
pre-tax basis.