Exhibit 11.1
ALBEMARLE CORPORATION
COMPUTATION OF PRO FORMA EARNINGS PER SHARE
Years Ended December 31, 2004, 2003 and 2002
(In Thousands, Except Per Share Amounts)
Pro Forma 2004 | Pro Forma 2003 | Pro Forma 2002 | ||||||||
BASIC EARNINGS PER SHARE | ||||||||||
Numerator: | ||||||||||
Income before cumulative effect of a change in accounting principle, net and after effect of applying SFAS No. 123 | $ | 53,376 | $ | 70,658 | $ | 70,398 | ||||
Cumulative effect of a change in accounting principle, net | — | (2,220 | ) | — | ||||||
Net income after effect of applying SFAS No. 123 | $ | 53,376 | $ | 68,438 | $ | 70,398 | ||||
Denominator: | ||||||||||
Average number of shares of common stock outstanding | 41,567 | 41,255 | 42,104 | |||||||
Income before cumulative effect of a change in accounting principle, net and after effect of applying SFAS No. 123 | $ | 1.28 | $ | 1.71 | $ | 1.67 | ||||
Cumulative effect of a change in accounting principle, net | — | (0.05 | ) | — | ||||||
Basic earnings per share | $ | 1.28 | $ | 1.66 | $ | 1.67 | ||||
DILUTED EARNINGS PER SHARE | ||||||||||
Numerator: | ||||||||||
Income before cumulative effect of a change in accounting principle, net and after effect of applying SFAS No. 123 | $ | 53,376 | $ | 70,658 | $ | 70,398 | ||||
Cumulative effect of a change in accounting principle, net | — | (2,220 | ) | — | ||||||
Net income after effect of applying SFAS No. 123 | $ | 53,376 | $ | 68,438 | $ | 70,398 | ||||
Denominator: | ||||||||||
Average number of shares of common stock outstanding | 41,567 | 41,255 | 42,104 | |||||||
Shares issuable upon the assumed exercise of outstanding stock options and other common stock equivalents | 1,587 | 1,070 | 1,190 | |||||||
Total pro forma shares | 43,154 | 42,325 | 43,294 | |||||||
Income before cumulative effect of a change in accounting principle, net and after effect of applying SFAS No. 123 | $ | 1.24 | $ | 1.67 | $ | 1.63 | ||||
Cumulative effect of a change in accounting principle, net | — | (0.05 | ) | — | ||||||
Diluted earnings per share | $ | 1.24 | $ | 1.62 | $ | 1.63 | ||||
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