Cincinnati Financial (CINF) 10-Q 2003 Q3 Quarterly report

Exhibit 11
Statement Recomputation of Per Share Earnings

(Dollars in millions except share data)			Nine months ended September 30,				Three months ended September 30,
			2003		2002		2003		2002
Numerator:
	Net income – basic and diluted		$	245	$	182	$	104	$	72
Denominator:
	Weighted-average shares outstanding			160,742,300		163,491,420		160,432,538		163,222,154
	Effect of stock options			983,904		1,520,388		1,456,317		1,256,770
		Adjusted weighted-average shares		161,726,204		165,011,808		161,888,855		164,478,924
Earnings per share:
	Basic		$	1.52	$	1.12	$	0.65	$	0.44
	Diluted		$	1.51	$	1.11	$	0.64	$	0.44

Anti-Dilutive Securities
Shares were not included in the computation of diluted earnings per share for either the nine-month or three-month periods ended September 30, 2003 and 2002, since inclusion of these options would have anti-dilutive effects, as the options exercise prices exceeded the respective average market prices of the company’s shares.

(Dollars in millions except share data)	Nine months ended September 30,				Three months ended September 30,
	2003		2002		2003		2002
Number of options		2,028,071		631,475		919,217		935,992
Exercise price range	$37.66to$45.37		$41.47to$45.37		$39.88to$45.37		$39.88to$45.37

Cincinnati Financial Corporation	29
Form 10-Q for the Quarter Ended September 30, 2003