| **Exhibit 12**                                                     |
|--------------------------------------------------------------------|
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| COMPUTATION OF RATIOOF INCOME TO COMBINED FIXED CHARGES            |
| SEARS, ROEBUCK ANDCO. AND CONSOLIDATED SUBSIDIARIES                |
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|                                                               | Twelve |   | Three |   |   |   |   |   |   |   |
|                                                               |   | Months |   | Months |   | Year Ended |
|                                                               |   | Ended |   | Ended |   |  |
|                                                               |   | 3/31/01 |   | 3/31/01 |   |  |   |  |   |  |   |  |
| (millions, except ratios)                                     |   | (unaudited) |   | (unaudited) |   | 2000 |   | 1999 |   | 1998 |   | 1997 |   | 1996 |
|                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fixed Charges                                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest and amortization of debt discountand expense on all  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| indebtedness                                                       |   | $1,244 |   | $312  |   | $1,248  |   | $1,268  |   | $1,423  |   | $1,409  |   | $1,365  |
|                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Add interest element implicit in rentals                      |   | 140 |   | 39  |   | 136  |   | 133  |   | 144  |   | 147  |   | 121  |
|                                                               |   | 1,384  |   | 351  |   | 1,384  |   | 1,401  |   | 1,567  |   | 1,556  |   | 1,486  |
| Interest capitalized                                          |   | 6 |   | 2  |   | 4  |   | 5  |   | 5  |   | 3  |   | 5  |
|                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total fixed charges                                      |   | $1,390  |   | $353  |   | $1,388  |   | $1,406  |   | $1,572  |   | $1,559  |   | $1,491  |
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| Income                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income from continuing operations                                  |   | $1,284  |   | $176  |   | $1,343  |   | $1,453  |   | $1,072  |   | $1,188  |   | $1,271  |
| Deduct undistributed net income                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   (loss) of unconsolidated   companies         |   | 17  |   | 0  |   | 17  |   | (5) |   | 11  |   | 13  |   | 8 |
|                                                               |   | 1,267  |   | 176  |   | 1,326  |   | 1,458  |   | 1,061  |   | 1,175  |   | 1,263  |
|                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Add                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fixed charges (excluding interest capitalized)                     |   | 1,384  |   | 351  |   | 1,384  |   | 1,401  |   | 1,567  |   | 1,556  |   | 1,486  |
| Income taxes                                                  |   | 789  |   | 98  |   | 831  |   | 904  |   | 766  |   | 912  |   | 834  |
| Income before fixed charges and                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   income taxes                                           |   | $3,440  |   | $625  |   | $3,541  |   | $3,763  |   | $3,394  |   | $3,643  |   | $3,583  |
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|                                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ratio of income to fixed charges                              |   | 2.47  |   | 1.77  |   | 2.55  |   | 2.68  |   | 2.16  |   | 2.34  |   | 2.40  |