EX-12 13 a2081435zex-12.htm EX 12
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EXHIBIT 12

HEWLETT-PACKARD COMPANY AND SUBSIDIARIES
Statement of Computation of Ratio of Earnings to Fixed Charges

		Six months ended April 30, 2002		Fiscal Year Ended October 31,
		Six months ended April 30, 2002		2001			2000			1999		1998		1997
		(In millions, except ratios)
Earnings from continuing operations before extraordinary item, cumulative effect of change in accounting principle and taxes		$	988	$	702		$	4,625		$	4,194	$	3,694	$	3,568
Minority interest in the income of subsidiaries with fixed charges			2		10			4			14		4		22
Undistributed (earnings) or loss of equity investees			36		(30	)		(52	)		6		7		(7	)
Fixed charges from continuing operations:
	Interest expense and amortization of debt discount and premium on all indebtedness		96		285			257			202		235		215
	Interest included in rent		83		155			141			130		120		107

	Total fixed charges from continuing operations		179		440			398			332		355		322

Earnings before extraordinary item, cumulative effect of change in accounting principle, income taxes, minority interest, undistributed earnings or loss of equity investees and fixed charges		$	1,205	$	1,122		$	4,975		$	4,546	$	4,060	$	3,905
Ratio of earnings to fixed charges			6.7x		2.6x			12.5x			13.7x		11.4x		12.1x

(1): The ratio of earnings to fixed charges was computed by dividing earnings (earnings from continuing operations before extraordinary item, cumulative effect of change in accounting principle and taxes, adjusted for fixed charges from continuing operations, minority interest in the income of subsidiaries with fixed charges and undistributed earnings or loss of equity investees) by fixed charges from continuing operations for the periods indicated. Fixed charges from continuing operations include (i) interest expense and amortization of debt discount or premium on all indebtedness, and (ii) a reasonable approximation of the interest factor deemed to be included in rental expense.