Selective Insurance (SIGI) 10-Q 2008 Q2 Quarterly report

EXHIBIT 11

SELECTIVE INSURANCE GROUP, INC. AND CONSOLIDATED SUBSIDIARIES
COMPUTATION OF EARNINGS PER SHARE

Second Quarter 2008	Income		Shares		Per Share
(in thousands, except per share amounts)	(Numerator)		(Denominator)		Amount
Basic EPS:
Net income available to common stockholders	$	28,651		52,024	$	0.55
Effect of dilutive securities:
Restricted stock		—		552
Restricted stock units		—		50
Stock options		—		252
Deferred shares		—		186
Diluted EPS:
Net income available to common stockholders and assumed conversions	$	28,651		53,064	$	0.54

Second Quarter 2007	Income		Shares		Per Share
(in thousands, except per share amounts)	(Numerator)		(Denominator)		Amount
Basic EPS:
Net income available to common stockholders	$	35,886		51,659	$	0.69
Effect of dilutive securities:
Restricted stock		—		985
Convertible debt		347		3,471
Stock options		—		426
Deferred shares		—		180
Diluted EPS:
Net income available to common stockholders and assumed conversions	$	36,233		56,721	$	0.64

Six Months 2008	Income		Shares		Per Share
(in thousands, except per share amounts)	(Numerator)		(Denominator)		Amount
Basic EPS:
Net income available to common stockholders	$	49,154		52,349	$	0.94
Effect of dilutive securities:
Restricted stock		—		609
Restricted stock units		—		37
Stock options		—		280
Deferred shares		—		186
Diluted EPS:
Net income available to common stockholders and assumed conversions	$	49,154		53,461	$	0.92

Six Months 2007	Income		Shares		Per Share
(in thousands, except per share amounts)	(Numerator)		(Denominator)		Amount
Basic EPS:
Net income available to common stockholders	$	73,138		53,097	$	1.38
Effect of dilutive securities:
Restricted stock		—		1,112
Convertible debt		753		3,788
Stock options		—		434
Deferred shares		—		179
Diluted EPS:
Net income available to common stockholders and assumed conversions	$	73,891		58,610	$	1.26