EXHIBIT 12
PEPSICO, INC. AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges
(in millions except ratio amounts, unaudited)
24 Weeks Ended
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6/10/00 6/12/99
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Earnings: (a)
Income before income taxes............................ $1,448 $2,183
Joint ventures and minority interests, net............ (48) (13)
Amortization of capitalized interest.................. (3) 3
Interest expense...................................... 103 228
Interest portion of rent expense (b).................. 14 23
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Earnings available for fixed charges................ $1,514 $2,424
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Fixed Charges:
Interest expense...................................... $ 103 $ 228
Capitalized interest.................................. 2 4
Interest portion of rent expense (b).................. 14 23
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Total fixed charges................................. $ 119 $ 255
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Ratio of Earnings to Fixed Charges (c)................ 12.72 9.51
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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 24 weeks ended June 12, 1999 would have been
5.84.
(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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