EXHIBIT 12
THE BEAR STEARNS COMPANIES INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND TO
COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(IN THOUSANDS, EXCEPT FOR RATIOS)
(Unaudited)
Nine months Ended Fiscal Year Ended
----------------------------------- ------------------------------------------------------------
August 31, August 31, November 30, November 30, November 30,
2007 2006 2006 2005 2004
----------------- ---------------- ------------------ ------------------- ------------------
Earnings before taxes
on income $ 1,563,689 $ 2,253,790 $ 3,146,630 $ 2,207,059 $ 2,022,154
----------------- ---------------- ------------------ ------------------- ------------------
Add: Fixed Charges
Interest 7,788,885 5,264,074 7,324,254 4,141,653 1,609,019
Interest factor
in rents 19,424 39,576 54,699 44,723 37,143
----------------- ---------------- ------------------ ------------------- ------------------
Total fixed charges 7,808,309 5,303,650 7,378,953 4,186,376 1,646,162
----------------- ---------------- ------------------ ------------------- ------------------
Earnings before fixed
charges and taxes
on income $ 9,371,998 $ 7,557,440 $ 10,525,583 $ 6,393,435 $ 3,668,316
================= ================ ================== =================== ==================
Preferred stock
dividend requirements $ 22,612 $ 24,345 $ 32,729 $ 36,711 $ 42,214
Total combined fixed
charges and
preferred stock
dividends $ 7,830,921 $ 5,327,995 $ 7,411,682 $ 4,223,087 $ 1,688,376
----------------- ---------------- ------------------ ------------------- ------------------
Ratio of earnings to
fixed charges 1.2 1.4 1.4 1.5 2.2
Ratio of earnings to
combined fixed
charges and
preferred stock
dividends 1.2 1.4 1.4 1.5 2.2
----------------- ---------------- ------------------ ------------------- ------------------
Fiscal Year Ended
----------------------------------
November 30, November 30,
2003 2002
---------------- ----------------
Earnings before taxes
on income $ 1,772,269 $ 1,310,963
---------------- ----------------
Add: Fixed Charges
Interest 1,400,953 1,762,580
Interest factor
in rents 36,038 37,735
---------------- ----------------
Total fixed charges 1,436,991 1,800,315
---------------- ----------------
Earnings before fixed
charges and taxes
on income $ 3,209,260 $ 3,111,278
================ ================
Preferred stock
dividend requirements $ 48,084 $ 53,142
Total combined fixed
charges and
preferred stock
dividends $ 1,485,075 $ 1,853,457
---------------- ----------------
Ratio of earnings to
fixed charges 2.2 1.7
Ratio of earnings to
combined fixed
charges and
preferred stock
dividends 2.2 1.7
---------------- ----------------
72