Cincinnati Financial (CINF) 10-Q 2009 Q2 Quarterly report

Exhibit 11
Statements Re: Computation of Per Share Earnings

	Three months ended June 30,					Six months ended June 30,
(In millions)	2009			2008		2009		2008
Numerator:
Net income (loss)—basic and diluted	$	(19	)	$	63	$	17	$	21
Denominator:
Weighted-average common shares outstanding		162,556,327			164,530,659		162,521,046		163,921,532
Effect of stock based awards		—			513,804		217,035		679,930
Adjusted weighted-average shares		162,556,327			165,044,463		162,738,081		164,601,462
Earnings (loss) per share:
Basic	$	(0.12	)	$	0.38	$	0.10	$	0.13
Diluted		(0.12	)		0.38		0.10		0.13
Number of anti-dilutive stock based awards		10,085,598			6,492,284		10,085,598		5,417,396
Exercise price of anti-dilutive stock based awards	$	25.08-45.26		$	34.96-45.26	$	25.08-45.26	$	36.41-45.26

Due to the net loss in the second quarter of 2009, the assumed exercise of certain stock options were excluded from the computation of diluted loss per share.

Certain stock-based compensation awards were not included in the computation of diluted earnings per share for the three- and six-month periods ended June 30, 2009 and 2008, since inclusion of these awards would have anti-dilutive effects.

Cincinnati Financial Corporation

Form 10-Q for the quarterly period ended June 30, 2009      53