Selective Insurance (SIGI) 10-Q 2006 Q2 Quarterly report

EXHIBIT 11

SELECTIVE INSURANCE GROUP, INC. AND CONSOLIDATED SUBSIDIARIES
COMPUTATION OF EARNINGS PER SHARE
Three months ended June 30, 2006 and 2005

2006	Income		Shares		Per Share
(in thousands, except per share amounts)	(Numerator)		(Denominator)		Amount
Basic EPS:
Net income available to common stockholders	$	41,996		27,506	$	1.53
Effect of dilutive securities:
Restricted stock		—		447
Convertible debt		587		2,925
Stock options		—		273
Deferred shares		—		86
Diluted EPS:
Net income available to common stockholders and assumed conversions	$	42,583		31,237	$	1.36

2005	Income		Shares		Per Share
(in thousands, except per share amounts)	(Numerator)		(Denominator)		Amount
Basic EPS:
Net income from continuing operations	$	30,967		27,251	$	1.14
Net income from discontinued operations		1,111		27,251		0.04
Cumulative effect of change in accounting principle		—		27,251		—
Net income available to common stockholders		32,078		27,251		1.18
Effect of dilutive securities:
Restricted stock		—		437
Convertible debt		812		4,069
Stock options		—		325
Deferred shares		—		90
Diluted EPS:
Net income from continuing operations		31,779		32,172		0.99
Net income from discontinued operations		1,111		32,172		0.03
Cumulative effect of change in accounting principle		—		32,172		—
Net income available to common stockholders and assumed conversions	$	32,890		32,172	$	1.02

EXHIBIT 11

SELECTIVE INSURANCE GROUP, INC. AND CONSOLIDATED SUBSIDIARIES
COMPUTATION OF EARNINGS PER SHARE
Six months ended June 30, 2006 and 2005

2006	Income		Shares		Per Share
(in thousands, except per share amounts)	(Numerator)		(Denominator)		Amount
Basic EPS:
Net income available to common stockholders	$	81,975		27,208	$	3.01
Effect of dilutive securities:
Restricted stock		—		505
Convertible debt		1,399		3,492
Stock options		—		301
Deferred shares		—		87
Diluted EPS:
Net income available to common stockholders and assumed conversions	$	83,374		31,593	$	2.64

2005	Income		Shares		Per Share
(in thousands, except per share amounts)	(Numerator)		(Denominator)		Amount
Basic EPS:
Net income from continuing operations	$	65,976		27,178	$	2.43
Net income from discontinued operations		1,708		27,178		0.06
Cumulative effect of change in accounting principle		495		27,178		0.02
Net income available to common stockholders		68,179		27,178		2.51
Effect of dilutive securities:
Restricted stock		—		525
Convertible debt		1,624		4,072
Stock options		—		355
Deferred shares		—		95
Diluted EPS:
Net income from continuing operations		67,600		32,225		2.10
Net income from discontinued operations		1,708		32,225		0.05
Cumulative effect of change in accounting principle		495		32,225		0.02
Net income available to common stockholders and assumed conversions	$	69,803		32,225	$	2.17