Baxter International Inc. and Subsidiaries

Exhibit 12—Computation of Ratio of Earnings to Fixed Charges

(unaudited—in millions, except ratios)

	Restated
Years ended December 31,	2003 (B)			2002 (B)			2001 (B)			2000 (B)			1999
Income from continuing operations before income taxes and cumulative effect of accounting changes	$	1,129		$	1,386		$	962		$	956		$	1,080
Fixed charges
Interest costs		152			100			129			134			122
Estimated interest in rentals (A)		51			46			36			32			29
Fixed charges as defined		203			146			165			166			151
Adjustments to income
Interest costs capitalized		(37	)		(30	)		(22	)		(14	)		(10	)
Net gains of less than majority-owned affiliates, net of dividends		(23	)		(1	)		(1	)		(2	)		(2	)
Income as adjusted	$	1,272		$	1,501		$	1,104		$	1,106		$	1,219
Ratio of earnings to fixed charges		6.27			10.28			6.69			6.66			8.07

(A	)	Represents the estimated interest portion of rents.
(B	)	Excluding the following pre-tax special charges, the ratio of earnings to fixed charges was 7.93, 11.58, 9.53, and 8.39 in 2003, 2002, 2001 and 2000, respectively (as restated).
		2003:	$337 million charge for restructuring.
		2002:	$163 million charge for in-process research and development and $26 million charge for restructuring.
		2001:	$280 million charge for in-process research and development and other special charges and $189 million charge relating to discontinuing the A, AF and AX series dialyzers.
		2000:	$286 million charge for in-process research and development and other special charges.