EXHIBIT 11
ARMCO INC.
COMPUTATION OF INCOME (LOSS) PER COMMON SHARE
(Dollars and shares in millions, except per share amounts)
Three Months Ended Nine Months Ended
PRIMARY September 30, September 30,
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1995 1994 1995 1994
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Income (loss) from
continuing operations $ (2.1) $ 22.8 $ 31.9 $ 60.3
Preferred stock dividends (4.5) (4.5) (13.4) (13.4)
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Income (loss) from continuing
operations applicable to common stock (6.6) 18.3 18.5 46.9
Income from discontinued operations 2.0 2.6 6.3 7.8
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Net income (loss) applicable to
common stock $ (4.6) $ 20.9 $ 24.8 $ 54.7
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Weighted average number of
common shares 106.1 104.8 105.9 104.5
Weighted average number of common
equivalent shares - 0.1 0.1 0.1
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Average common shares outstanding
as adjusted 106.1 104.9 106.0 104.6
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Income (loss) per share from
continuing operations $ (0.06) $ 0.17 $ 0.17 $ 0.45
Income per share from
discontinued operations 0.02 0.03 0.06 0.07
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Net income (loss) per share $ (0.04) $ 0.20 $ 0.23 $ 0.52
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FULLY DILUTED*
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Income (loss) from continuing
operations $ (2.1) $ 22.8 $ 31.9 $ 60.3
Preferred stock dividends (4.5) - - -
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Income (loss) from continuing
operations applicable to common stock (6.6) 22.8 31.9 60.3
Income from discontinued operations 2.0 2.6 6.3 7.8
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Net income (loss) applicable to
common stock $ (4.6) $ 25.4 $ 38.2 $ 68.1
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Weighted average number of
common shares 106.1 104.8 105.9 104.5
Weighted average number of common
equivalent shares ** 0.1 0.1 0.1
Weighted average number of preferred
shares on an "if converted" basis ** 22.7 22.7 22.7
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Average common shares outstanding
as adjusted 106.1 127.6 128.7 127.3
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Income (loss) per share from
continuing operations $ (0.06) $ 0.18 $ 0.25 $ 0.47
Income per share from discontinued
operations 0.02 0.02 0.05 0.06
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Net income (loss) per share $ (0.04) $ 0.20 $ 0.30 $ 0.53
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Shares of stock outstanding at September 30
Common 106.1 104.9
Preferred - $2.10 Class A 1.7 1.7
Preferred - $3.625 Class A 2.7 2.7
Preferred - $4.50 Class B 1.0 1.0
<FN>
* Calculation of fully diluted income per share is submitted in accordance
with Securities Exchange Act of 1934 Release No. 9083, although it is contrary
to paragraph 40 of APB Opinion No. 15 because it produces an antidilutive
result, or is not required by footnote 2 to paragraph 14 of APB Opinion No. 15
because it results in dilution of less than 3%.
** Antidilutive