EX-12 4 exhibit12-3242018.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Exhibit


EXHIBIT 12

Computation of Ratio of Earnings to Fixed Charges
PepsiCo, Inc. and Subsidiaries
(in millions except ratio amounts, unaudited)
 
 
12 Weeks Ended
 
  
3/24/2018

 
3/25/2017

Earnings:
  
 
 
 
Income before income taxes
  
$
1,657

 
$
1,721

Unconsolidated affiliates’ interests, net
  
(40
)
 
(36
)
Amortization of capitalized interest
  
1

 
1

Interest expense (a)
  
294

 
252

Interest portion of rent expense (b)
  
54

 
50

Earnings available for fixed charges
  
$
1,966

 
$
1,988

 
  
 
 
 
Fixed Charges:
  
 
Interest expense (a)
  
$
294

 
$
252

Capitalized interest
  
3

 
3

Interest portion of rent expense (b)
  
54

 
50

Total fixed charges
  
$
351

 
$
305

 
 
 
 
 
Ratio of Earnings to Fixed Charges (c)
  
5.60

 
6.52

(a)
Excludes interest related to our reserves for income taxes as such interest is included in provision for income taxes and includes net amortization of debt premium/discount.
(b)
One-third of rent expense is the portion deemed representative of the interest factor.
(c)
Based on unrounded amounts.