Radian (RDN) 10-Q 2005 Q3 Quarterly report

EXHIBIT 11

Radian Group Inc.

Schedule of Net Income per Share

	Three Months Ended September 30				Nine Months Ended September 30
(In thousands, except per-share amounts and market prices)	2005		2004		2005		2004
Net income	$	162,557	$	122,171	$	418,393	$	362,684
Interest expense on convertible senior debentures (net of tax)		267		805		1,871		2,413
Net income available to common stockholders	$	162,824	$	122,976	$	420,264	$	365,097
Average diluted stock options outstanding		4,383.8		4,999.0		4,845.4		5,511.7
Average exercise price per share	$	38.17	$	26.48	$	37.34	$	30.90
Average market price per share—diluted basis	$	48.80	$	45.67	$	48.80	$	45.67
Average common shares outstanding		84,567		92,384		86,507		93,416
Increase in shares due to exercise of options—diluted basis		860		1,003		895		1,040
Increase in shares-contingently convertible debt		1,266		3,810		2,954		3,810
Adjusted shares outstanding—diluted		86,693		97,197		90,356		98,266
Net income per share—basic	$	1.92	$	1.32	$	4.84	$	3.88
Net income per share—diluted	$	1.88	$	1.27	$	4.65	$	3.72