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EXHIBIT 12
JOHNSON & JOHNSON AND SUBSIDIARIES
STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES(1)
(DOLLARS IN MILLIONS)
FISCAL YEAR ENDED
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JANUARY 3, DECEMBER 28, DECEMBER 29, DECEMBER 31, JANUARY 1,
1999(2) 1997 1996 1995 1995
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Determination of Earnings:
Earnings Before Provision for Taxes
on Income......................... $4,269 4,576 4,033 3,317 2,681
Fixed Charges........................ 190 198 204 219 234
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Total Earnings as Defined.... $4,459 4,774 4,237 3,536 2,915
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Fixed Charges and Other:
Rents................................ 80 78 79 76 92
Interests............................ 110 120 125 143 142
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Fixed Charges................ 190 198 204 219 234
Capitalized Interest................. 71 40 55 70 44
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Total Fixed Charges.......... $ 261 238 259 289 278
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Ratio of Earnings to Fixed Charges..... 17.08 20.06 16.36 12.24 10.49
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(1) The ratio of earnings to fixed charges represents the historical ratio of
the Company and is calculated on a total enterprise basis. The ratio is
computed by dividing the sum of earnings before provision for taxes and
fixed charges (excluding capitalized interest) by fixed charges. Fixed
charges represent interest (including capitalized interest) and amortization
of debt discount and expense and the interest factor of all rentals,
consisting of an appropriate interest factor on operating leases.
(2) 1998 earnings include charges related to restructuring of $613 million and
in-process research and development charges, relating primarily to the DePuy
acquisition, of $164 million. Excluding the effect of these charges, the
ratio of earnings to fixed charges would have been 20.06.
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