EXHIBIT 11. STATEMENT RE: COMPUTATION OF EARNINGS PER SHARE ON PRIMARY AND FULLY DILUTED BASES (Unaudited) Eli Lilly and Company and Subsidiaries Three Months Nine Months Ended September 30, Ended September 30, 1995 1994 1995 1994 ---------------------------------------- (Dollars in millions except per share data) (Shares in thousands) PRIMARY: Net income $1,228.0 $318.7 $1,948.3 $996.0 Average number of common shares outstanding 286,537 289,070 288,294 289,247 Add incremental shares: Stock plans and contingent 4,227 2,086 3,911 2,049 payments Adjusted average shares 290,764 291,156 292,205 291,296 Primary earnings per share $4.22 $1.09 $6.67 $3.42 FULLY DILUTED: Net income $1,228.0 $318.7 $1,948.3 $996.0 Average number of common shares outsanding 286,537 289,070 288,294 289,247 Add incremental shares: Stock plans and contingent payments 5,248 2,722 5,942 2,745 Adjusted average shares 291,785 291,792 294,236 291,992 Fully diluted earnings per share $4.21 $1.09 $6.62 $3.41 Common stock equivalents are not materially dilutive and, accordingly, have not been considered in the computation of reported net earnings per common share. -14-