Exhibit 11
Statements Re: Computation Of Per Share Earnings
Three months ended Sept. 30, | Nine months ended Sept. 30, | |||||||||||||||
(Dollars in millions except share data) | 2006 | 2005 | 2006 | 2005 | ||||||||||||
Numerator: | ||||||||||||||||
Net income—basic and diluted | $ | 115 | $ | 117 | $ | 800 | $ | 419 | ||||||||
Denominator: | ||||||||||||||||
Weighted-average common shares outstanding | 173,224,254 | 174,811,150 | 173,555,925 | 175,194,545 | ||||||||||||
Effect of stock options | 2,035,809 | 1,995,117 | 1,986,691 | 2,018,132 | ||||||||||||
Adjusted weighted-average shares | 175,260,063 | 176,806,267 | 175,542,616 | 177,212,677 | ||||||||||||
Earnings per share: | ||||||||||||||||
Basic | $ | 0.67 | $ | 0.67 | $ | 4.61 | $ | 2.39 | ||||||||
Diluted | $ | 0.66 | $ | 0.66 | $ | 4.56 | $ | 2.37 |
Anti-Dilutive Securities
Certain option shares were not included in the computation of diluted earnings per share for the three and nine month periods ended September 30, 2006, since inclusion of these option shares would have anti-dilutive effects.
Three months ended Sept. 30, | Nine months ended Sept. 30, | |||||||||||||||
2006 | 2005 | 2006 | 2005 | |||||||||||||
Number of anti-dilutive option shares | 1,343,850 | 1,746,182 | 2,777,770 | 1,481,578 | ||||||||||||
Exercise price | $ | $45.26 | $ | 41.14-41.62 | $ | 41.62-45.26 | $ | 41.62 |
Cincinnati Financial Corporation | ||
Form 10-Q for the quarter ended September 30, 2006 | 49 |