EXHIBIT 12(a) 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 1999 1998 1997 1996 -------------- ------------------ ------------------ ------------------ (53 weeks) (52 weeks) (52 weeks) (52 weeks) Pre-tax earnings from continuing operations $ 4,206 $ 2,120 $ 3,102 $ 2,671 Add: Fixed charges (excluding capitalized interest and preferred security dividend requirements of subsidiaries) 13,234 17,237 15,128 11,605 -------------- ------------------ ------------------ ------------------ Pre-tax earnings before fixed charges 17,440 19,357 18,230 14,276 Fixed charges: Interest 12,987 17,014 14,938 11,427 Other (a) 451 354 239 187 -------------- ------------------ ------------------ ------------------ Total fixed charges 13,438 17,368 15,177 11,614 Preferred stock dividend requirements 56 58 62 74 -------------- ------------------ ------------------ ------------------ Total combined fixed charges and preferred stock dividends $13,494 $17,426 $15,239 $11,688 -------------- ------------------ ------------------ ------------------ Ratio of earnings to fixed charges 1.30 1.11 1.20 1.23 Ratio of earnings to combined fixed charges and preferred stock dividends 1.29 1.11 1.20 1.22
(a) Other fixed charges consists of the interest factor in rentals, amortization of debt issuance costs, preferred security dividend requirements of subsidiaries, and amortization of capitalized interest. Note: Prior period amounts have been restated to reflect the merger with Herzog, Heine, Geduld, Inc. as required under pooling-of-interests accounting.