Itt Educational Services 10-Q 2002 Q3 Quarterly report

Exhibit 11

ITT EDUCATIONAL SERVICES, INC.

COMPUTATION OF BASIC AND DILUTED EARNINGS PER SHARE

(In thousands, except per share data)

	Three Months Ended September 30,				Nine Months Ended September 30,
	2002		2001		2002		2001
Net income	$	12,101	$	9,179	$	25,261	$	19,045
Shares:
Weighted average number of shares of common stock outstanding (a)	45,668		47,590		45,914		47,356
Shares assumed issued (less shares assumed purchased for treasury) on stock options (a)	838		1,072		1,054		996
Outstanding shares for diluted earnings per share calculation (a)	46,506		48,662		46,968		48,352
Earnings per common share:
Basic	$	0.26	$	0.19	$	0.55	$	0.40
Diluted	$	0.26	$	0.19	$	0.54	$	0.39

(a) The number of shares for all prior periods have been restated to reflect the two-for-one stock split declared on May 10, 2002 that became effective on June 6 , 2002.