EX-12 4 ex12.txt EXHIBIT 12 EXHIBIT 12 PHILIP MORRIS COMPANIES INC. AND SUBSIDIARIES Computation of Ratios of Earnings to Fixed Charges (in millions of dollars) -----------------
Three Months Ended March 31, 2002 -------------- Earnings before income taxes and minority interest $3,878 Add (deduct): Equity in net earnings of less than 50% owned affiliates (56) Dividends from less than 50% owned affiliates 22 Fixed charges 400 Interest capitalized, net of amortization 3 ------ Earnings available for fixed charges $4,247 ====== Fixed charges: Interest incurred: Consumer products $ 331 Financial services 24 ------ 355 Portion of rent expense deemed to represent interest factor 45 ------ Fixed charges $ 400 ====== Ratio of earnings to fixed charges 10.6 ======
EXHIBIT 12 PHILIP MORRIS COMPANIES INC. AND SUBSIDIARIES Computation of Ratios of Earnings to Fixed Charges (in millions of dollars) -----------------
For the Years Ended December 31, ---------------------------------------------------------- 2001 2000 1999 1998 1997 -------- -------- -------- -------- -------- Earnings before income taxes, minority interest and cumulative effect of accounting change $14,284 $14,087 $12,821 $ 9,215 $10,698 Add (deduct): Equity in net earnings of less than 50% owned affiliates (228) (228) (197) (195) (207) Dividends from less than 50% owned affiliates 29 70 56 70 138 Fixed charges 1,945 1,348 1,363 1,386 1,438 Interest capitalized, net of amortization 10 7 (2) (5) (16) ------- ------- ------- ------- ------- Earnings available for fixed charges $16,040 $15,284 $14,041 $10,471 $12,051 ======= ======= ======= ======= ======= Fixed charges: Interest incurred: Consumer products $ 1,665 $ 1,087 $ 1,118 $ 1,166 $ 1,224 Financial services 102 114 89 77 67 ------- ------- ------- ------- ------- 1,767 1,201 1,207 1,243 1,291 Portion of rent expense deemed to represent interest factor 178 147 156 143 147 ------- ------- ------- ------- ------- Fixed charges $ 1,945 $ 1,348 $ 1,363 $ 1,386 $ 1,438 ======= ======= ======= ======= ======= Ratio of earnings to fixed charges 8.2 11.3 10.3 7.6 8.4 ======= ======= ======= ======= =======