EXHIBIT 11 AMBASE CORPORATION COMPUTATION OF EARNINGS PER SHARE YEARS ENDED DECEMBER 31 - ------------------------------------------------------------------------------ (IN THOUSANDS, EXCEPT PER SHARE DATA) 1996 1995 1994 - ------------------------------------------------------------------------------ Income from continuing operations $13,825 $4,008 $6,098 Income from discontinued investment management operations, net of income taxes 207 60 32 - ------------------------------------------------------------------------------- NET INCOME $14,032 $4,068 $6,130 ================================================================================ PRIMARY: * Average shares outstanding 44,534 44,534 44,422 Net effect of dilutive stock options - based on treasury method using average market price 1,577 937 555 - ------------------------------------------------------------------------------- Equivalent number of shares 46,111 45,471 44,977 ================================================================================ PER SHARE AMOUNTS: Income from continuing operations $ 0.30 $ 0.09 $ 0.14 Income from discontinued investment management operations, net of income taxes - - - - ------------------------------------------------------------------------------- NET INCOME $ 0.30 $ 0.09 $ 0.14 ================================================================================ FULLY DILUTED: * Average shares outstanding 44,534 44,534 44,422 Net effect of dilutive stock options - based on treasury method using greater of the average market price or year-end market price 1,690 1,187 555 - ------------------------------------------------------------------------------- Equivalent number of shares - based on treasury method using greater of the average market price or year-end market price 46,224 45,721 44,977 ================================================================================ PER SHARE AMOUNTS: Income from continuing operations $ 0.30 $ 0.09 $ 0.14 Income from discontinued investment management operations, net of income taxes - - - - ------------------------------------------------------------------------------- NET INCOME $ 0.30 $ 0.09 $ 0.14 ================================================================================ * This calculation is submitted in accordance with Regulation S-K, Item 601(b)11, although not required by footnote 2 to paragraph 14 of Accounting Principles Board Opinion No. 15, because it results in dilution of less than 3%.