Ampal-american Israel 10-Q 2004 Q2 Quarterly report

Exhibit 11.1

AMPAL - AMERICAN ISRAEL CORPORATION AND SUBSIDIARIES

SCHEDULE SETTING FORTH COMPUTATION OF LOSS PER SHARE OF CLASS A STOCK

SIX MONTHS ENDED JUNE 30,	2004			2003
(Dollars in thousands, except per share amounts)	(Unaudited)			(Unaudited)
BASIC EPS
Net Gain (loss)(1)	$	(634	)	$	7,955
Gain (Loss) per Class A Share	$	(0.03	)	$	0.40
Shares used in calculation(2)		19,814			19,698
DILUTED EPS
Net Gain (loss)	$	(634	)	$	8,064
Gain (loss) per Class A Share	$	(0.03	)	$	0.36
Shares used in calculation(2)		19,814			22,103

(1) After deduction of accrued preferred stock dividends of $107 and $109 respectively.

(2) In 2004, the conversion of the 4% and 6-1/2% Preferred Stock and the exercise of stock options were excluded from the diluted EPS calculation due to the antidilutive effect.