EXHIBIT 12 MERRILL LYNCH & CO., INC. AND SUBSIDIARIES COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AND COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (dollars in millions) FOR THE THREE MONTHS ENDED FOR THE SIX MONTHS ENDED ---------------------------- -------------------------- JUNE 30, JUNE 25, JUNE 30, JUNE 25, 2000 1999 2000 1999 --------- --------- -------- -------- Pre-tax earnings from continuing operations $ 1,378 $ 1,031 $ 2,953 $ 2,027 Add: Fixed charges (excluding capitalized interest and preferred security dividend requirements of subsidiaries) 4,256 3,243 8,094 6,595 ------- ------- ------- ------- Pre-tax earnings before fixed charges 5,634 4,274 11,047 8,622 ======= ======= ======= ======= Fixed charges: Interest 4,193 3,183 7,966 6,475 Other (a) 115 110 233 220 ------- ------- ------- ------- Total fixed charges 4,308 3,293 8,199 6,695 ======= ======= ======= ======= Preferred stock dividends 14 14 28 28 ------- ------- ------- ------- Total combined fixed charges and preferred stock dividends $ 4,322 $ 3,307 $ 8,227 $ 6,723 ======= ======= ======= ======= Ratio of earnings to fixed charges 1.31 1.30 1.35 1.29 Ratio of earnings to combined fixed charges and preferred stock dividends 1.30 1.29 1.34 1.28 (a) Other fixed charges consist of the interest factor in rentals, amortization of debt issuance costs, preferred security dividend requirements of subsidiaries, and capitalized interest.