CHESAPEAKE UTILITIES CORPORATION AND SUBSIDIARIES
EXHIBIT 11
COMPUTATION OF PRIMARY AND FULLY DILUTED EARNINGS PER SHARE
FOR THE QUARTER FOR THE NINE MONTHS
ENDED SEPTEMBER 30, ENDED SEPTEMBER 30,
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1996 1995 1996 1995
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Primary earnings per share calculation:
Weighted average number of shares assuming
primary dilution 3,803,719 3,710,054 3,784,217 3,691,866
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Consolidated net (loss)/income ($390,871) $988,122 $5,090,595 $5,410,639
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Total primary earnings per share ($0.10) $0.27 $1.35 $1.47
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Fully diluted earings per share calculation (1):
Weighted average number of shares assuming
primary dilution 3,803,719 3,710,054 3,784,217 3,691,866
Contingent shares 242,171 247,287 243,427 249,487
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Weighted average number of shares assuming
full dilution 4,045,890 3,957,341 4,027,644 3,941,353
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Consolidated net (loss)/income ($390,871) $988,122 $5,090,595 $5,410,639
Interest on convertible debt 85,438 87,484 255,775 261,907
Less: Applicable federal income taxes 33,321 34,119 99,752 102,144
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Adjusted net (loss)/income ($338,754) $1,041,487 $5,246,618 $5,570,402
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Fully diluted earnings per share ($0.08) $0.26 $1.30 $1.41
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(1) This calculation is submitted in accordance with Regulation S-K item
601(b)(11), although it is contrary to paragraph 40 of APB Opinion
No. 15, because it produces an anti-dilutive result for the quarter
ended September 30, 1996.