EXHIBIT 12
PEPSICO, INC. AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges (a)
Years Ended December 30, 2006, December 31, 2005, December 25, 2004,
December 27, 2003 and December 28, 2002
(in millions except ratio amounts)
| 2006 | 2005 | 2004 | 2003 | 2002 | ||||||||||||||||
| Earnings: |
||||||||||||||||||||
| Income before income taxes – continuing operations |
$ | 6,989 | $ | 6,382 | $ | 5,546 | $ | 4,992 | $ | 4,433 | ||||||||||
| Unconsolidated affiliates interests, net |
(311 | ) | (320 | ) | (289 | ) | (275 | ) | (251 | ) | ||||||||||
| Amortization of capitalized interest |
6 | 7 | 7 | 9 | 8 | |||||||||||||||
| Interest expense |
239 | 256 | 167 | 163 | 178 | |||||||||||||||
| Interest portion of net rent expense (b) |
97 | 76 | 82 | 77 | 64 | |||||||||||||||
| Earnings available for fixed charges |
$ | 7,020 | $ | 6,401 | $ | 5,513 | $ | 4,966 | $ | 4,432 | ||||||||||
| Fixed Charges: |
||||||||||||||||||||
| Interest expense |
$ | 239 | $ | 256 | $ | 167 | $ | 163 | $ | 178 | ||||||||||
| Capitalized interest |
16 | 5 | 2 | 4 | 3 | |||||||||||||||
| Interest portion of net rent expense (b) |
97 | 76 | 82 | 77 | 64 | |||||||||||||||
| Total fixed charges |
$ | 352 | $ | 337 | $ | 251 | $ | 244 | $ | 245 | ||||||||||
| Ratio of Earnings to Fixed Charges |
19.99 | 19.03 | 22.00 | 20.37 | 18.08 | |||||||||||||||
| (a) |
Based on unrounded amounts. |
| (b) |
One-third of net rent expense is the portion deemed representative of the interest factor. |