EX-12 2 a07-18715_1ex12.htm EX-12

Exhibit 12

Abbott Laboratories
Computation of Ratio of Earnings to Fixed Charges
(Unaudited)
(dollars in millions except ratio)

 

 

Six Months Ended

 

 

 

June 30, 2007

 

Net Earnings

 

$

1,686

 

Add (deduct):

 

 

 

Taxes on earnings

 

407

 

Capitalized interest cost, net of amortization

 

(10

)

Minority interest

 

4

 

 

 

 

 

Earnings from Operations as adjusted

 

2,087

 

 

 

 

 

Fixed Charges:

 

 

 

Interest on long-term and short-term debt

 

301

 

Capitalized interest cost

 

19

 

Rental expense representative of an interest factor

 

36

 

 

 

 

 

Total Fixed Charges

 

356

 

 

 

 

 

Total adjusted earnings available for payment of fixed charges

 

$

2,443

 

 

 

 

 

Ratio of earnings to fixed charges

 

6.9

 

 

 

 

 

 

NOTE:  For the purpose of calculating this ratio, (i) earnings have been calculated by adjusting earnings for taxes on earnings; interest expense; capitalized interest cost, net of amortization; minority interest; and the portion of rentals representative of the interest factor, (ii) Abbott considers one-third of rental expense to be the amount representing return on capital, and (iii) fixed charges comprise total interest expense, including capitalized interest and such portion of rentals.