COMPUTATION OF RATIOS
Published on
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Exhibit (12)
Pitney Bowes Inc.
Computation of Ratio of Earnings to Fixed Charges (1)
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(Dollars in thousands) Three Months Ended Nine Months Ended
September 30, September 30,
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2003 2002 2003 2002
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Income before income taxes................................. $ 171,794 $ 213,785 $ 511,037 $ 610,635
Add:
Interest expense....................................... 41,810 45,005 126,323 142,150
Portion of rents
representative of the
interest factor..................................... 10,724 10,878 33,413 31,408
Amortization of capitalized
interest............................................ 369 368 1,105 979
Minority interest in the
income of subsidiary
with fixed charges.................................. 876 1,377 2,974 4,006
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Income as adjusted......................................... $ 225,573 $ 271,413 $ 674,852 $ 789,178
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Fixed charges:
Interest expense....................................... $ 41,810 $ 45,005 $ 126,323 $ 142,150
Portion of rents
representative of the
interest factor..................................... 10,724 10,878 33,413 31,408
Minority interest, excluding
taxes, in the income of
subsidiary with fixed charges....................... 1,270 2,004 4,327 5,831
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Total fixed charges................................. $ 53,804 $ 57,887 $ 164,063 $ 179,389
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Ratio of earnings to fixed charges......................... 4.19 4.69 4.11 4.40
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<FN>
(1) The computation of the ratio of earnings to fixed charges has been
computed by dividing income before income taxes as adjusted by fixed
charges. Included in fixed charges is one-third of rental expense as
the representative portion of interest.
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