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)
 
                                         
    Year Ended Last Friday in December
    2008   2007   2006   2005   2004
    (52 weeks)   (52 weeks)   (52 weeks)   (52 weeks)   (53 weeks)
 
Pre-tax earnings (loss)(a)
  $ (45,438 )   $ (13,723 )   $ 9,313     $ 6,335     $ 5,106  
Add: Fixed charges (excluding capitalized interest and preferred security dividend requirements of subsidiaries)
    29,641       51,683       35,719       21,764       10,591  
                                         
Pre-tax earnings before fixed charges
  $ (15,797 )   $ 37,960     $ 45,032     $ 28,099     $ 15,697  
                                         
Fixed charges:
                                       
Interest
  $ 29,349     $ 51,425     $ 35,499     $ 21,549     $ 10,387  
Other(b)
    292       258       220       215       204  
                                         
Total fixed charges
  $ 29,641     $ 51,683     $ 35,719     $ 21,764     $ 10,591  
                                         
Preferred stock dividend requirements
    4,356       401       259       99       54  
                                         
Total combined fixed charges and preferred stock dividends
  $ 33,997     $ 52,084     $ 35,978     $ 21,863     $ 10,645  
                                         
Ratio of earnings to fixed charges
    *       *     1.26       1.29       1.48  
Ratio of earnings to combined fixed charges and preferred stock dividends
    *       *     1.25       1.29       1.47  
 
 
(a) Excludes undistributed earnings (loss) from equity investments and earnings from discontinued operations.
(b) Other fixed charges consist of the interest factor in rentals, amortization of debt issuance costs and preferred security dividend requirements of subsidiaries.
*  The earnings for the years ended 2008 and 2007 were inadequate to cover total fixed charges and total fixed charges and preferred stock dividends. The coverage deficiencies for total fixed charges for the years ended 2008 and 2007 were $45,438 and $13,723, respectively. The coverage deficiencies for total fixed charges and preferred stock dividends for the years ended 2008 and 2007 were $49,794 and $14,124, respectively.