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 28, June 29, June 28, June 29, 2002 2001 2002 2001 ------- ------- ------- ------- Pre-tax earnings $ 948 $ 852 $1,960 $ 2,203 Add: Fixed charges (excluding capitalized interest and preferred security dividend requirements of subsidiaries) 2,441 4,803 4,965 10,380 ------ ------ ------ ------ Pre-tax earnings before fixed charges 3,389 5,655 6,925 12,583 ====== ====== ====== ====== Fixed charges: Interest 2,389 4,739 4,858 10,251 Other (a) 100 117 204 234 ------ ------ ------ ------ Total fixed charges 2,489 4,856 5,062 10,485 ====== ====== ====== ====== Preferred stock dividend requirements 13 14 27 28 ------ ------ ------ ------ Total combined fixed charges and preferred stock dividends $2,502 $4,870 $5,089 $10,513 ====== ====== ====== ====== RATIO OF EARNINGS TO FIXED CHARGES 1.36 1.16 1.37 1.20 RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS 1.35 1.16 1.36 1.20 (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.