EX-12 5 a10kexhibit121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES 10K Exhibit 12 (1)


EXHIBIT 12
PEPSICO, INC. AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges
Years Ended December 27, 2014, December 28, 2013, December 29, 2012, December 31, 2011 and
December 25, 2010
(in millions except ratio amounts)
 
 
  
2014


2013


2012


2011


2010

Earnings:
  













Income before income taxes
  
$
8,757


$
8,891


$
8,304


$
8,834


$
8,232

Unconsolidated affiliates’ interests, net
  
(115
)

(25
)

(34
)

(30
)

72

Amortization of capitalized interest
  
6


5


2


3


3

Interest expense(a)
  
909


911


899


856


903

Interest portion of rent expense(b)
  
236


213


194


196


175

 
  
 


 










Earnings available for fixed charges
  
$
9,793


$
9,995


$
9,365


$
9,859


$
9,385

 
  
 


 










Fixed Charges:
  

 






Interest expense(a)
  
$
909


$
911


$
899


$
856


$
903

Capitalized interest
  
9


7


5


10


6

Interest portion of rent expense(b)
  
236


213


194


196


175

 
  
 


 










Total fixed charges
  
$
1,154


$
1,131


$
1,098


$
1,062


$
1,084

 
  
 


 










Ratio of Earnings to Fixed Charges(c)
  
8.49


8.84


8.53


9.29


8.65

 
 
 
 
 
 
 
 
 
 
 
(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.