EXHIBIT 12
PEPSICO, INC. AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges
(in millions except ratio amounts, unaudited)
36 Weeks Ended
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9/2/00 9/4/99
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Earnings: (a)
Income before income taxes............................ $2,312 $2,933
Joint ventures and minority interests, net............ (116) (67)
Amortization of capitalized interest.................. 5 3
Interest expense...................................... 156 300
Interest portion of rent expense (b).................. 22 35
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Earnings available for fixed charges................ $2,379 $3,204
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Fixed Charges:
Interest expense...................................... $ 156 $ 300
Capitalized interest.................................. 2 5
Interest portion of rent expense (b).................. 22 35
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Total fixed charges................................. $ 180 $ 340
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Ratio of Earnings to Fixed Charges (c)................ 13.19 9.44
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(a) Includes the impact of an asset impairment and restructuring charge of $65 and
gain on bottling transactions of $1 billion. Excluding the charge and the gain, the
ratio of earnings to fixed charges for the 36 weeks ended September 4, 1999 would have
been 6.68.
(b) One-third of net rent expense is the portion deemed representative of the interest factor.
(c) Based on unrounded amounts.
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