EXHIBIT 12.1 RJR NABISCO, INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (DOLLARS IN MILLIONS) YEARS ENDED DECEMBER 31, ----------------------------------------------------- 1997 1996 1995 1994 1993 --------- --------- --------- --------- --------- Earnings before fixed charges: Income before income taxes............................................. $ 1,104 $ 1,288 $ 1,291 $ 1,376 $ 112 Less minority interest in pre-tax income of Nabisco Holdings........... 142 22 105 -- -- --------- --------- --------- --------- --------- Adjusted income before income taxes.................................... 962 1,266 1,186 1,376 112 Interest and debt expense.............................................. 817 832 872 1,065 1,186 Interest portion of rental expense..................................... 61 56 54 51 52 --------- --------- --------- --------- --------- Earnings before fixed charges............................................ $ 1,840 $ 2,154 $ 2,112 $ 2,492 $ 1,350 --------- --------- --------- --------- --------- --------- --------- --------- --------- --------- Fixed charges: Interest and debt expense.............................................. $ 817 $ 832 $ 872 $ 1,065 $ 1,186 Interest portion of rental expense..................................... 61 56 54 51 52 Capitalized interest................................................... 6 15 12 11 9 --------- --------- --------- --------- --------- Total fixed charges.................................................. $ 884 $ 903 $ 938 $ 1,127 $ 1,247 --------- --------- --------- --------- --------- --------- --------- --------- --------- --------- Ratio of earnings to fixed charges....................................... 2.1 2.4 2.3 2.2 1.1 --------- --------- --------- --------- --------- --------- --------- --------- --------- ---------