Exhibit 12
 
SCHERING-PLOUGH CORPORATION AND SUBSIDIARIES

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Unaudited)
(Dollars in millions)
                                                 
    Six Months Ended
 		                               
    June 30,
 		    Years Ended December 31  
    2006     2005     2004     2003     2002     2001  
 
Income/(loss) before income taxes
  $ 780     $ 497     $ (168 )   $ (46 )   $ 2,563     $ 2,523  
Less: Equity income
    666       873       347       54       —       —  
                                                 
Income/(loss) before income taxes and equity income
    114       (376 )     (515 )     (100 )     2,563       2,523  
Add: Fixed charges:
                                               
Preference dividends
    43       86       34       —       —       —  
Interest expense
    91       163       168       81       28       40  
One-third of rental expense
    19       37       30       30       27       24  
Capitalized interest
    7       14       20       11       24       25  
                                                 
Total fixed charges
    160       300       252       122       79       89  
Less: Capitalized interest
    7       14       20       11       24       25  
Less: Preference dividends
    43       86       34       —       —       —  
Add: Amortization of capitalized interest
    5       10       9       9       8       7  
Add: Distributed income of equity investees
    541       647       228       32       —       —  
                                                 
Earnings/(loss) before income taxes and fixed charges (other than capitalized interest)
  $ 770     $ 481     $ (80 )   $ 52     $ 2,626     $ 2,594  
                                                 
Ratio of earnings to fixed charges
    4.8       1.6       (0.3 )*     0.4 **     33.2       29.1  
                                                 
 
 
* For the year ended December 31, 2004, earnings were insufficient to cover fixed charges by $332 million.
 
** For the year ended December 31, 2003, earnings were insufficient to cover fixed charges by $70 million.
 
“Earnings” consist of income/(loss) before income taxes and equity income, plus fixed charges (other than capitalized interest and preference dividends), amortization of capitalized interest and distributed income of equity investee. “Fixed charges” consist of interest expense, capitalized interest, preference dividends and one-third of rentals which Schering-Plough believes to be a reasonable estimate of an interest factor on leases.