Exhibit 11
THE ST. PAUL COMPANIES, INC. AND SUBSIDIARIES
Computation of Earnings Per Share
(In thousands)
Three Months Ended Nine Months Ended
September 30 September 30
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1998 1997 1998 1997
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EARNINGS:
Basic:
Net income (loss), as reported $63,802 215,172 (38,801) 673,532
Dividends on preferred
stock, net of taxes (2,126) (2,163) (6,395) (8,175)
Premium on preferred
shares redeemed (820) (1,523) (3,025) (2,434)
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Net income (loss) available
to common shares $60,856 211,486 (48,221) 662,923
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Diluted:
Net income (loss), as reported $63,802 215,172 (38,801) 673,532
Dividends on preferred
stock, net of taxes - - (6,395) (1,659)
Premium on preferred
shares redeemed (820) (1,523) (3,025) (2,434)
Dividends on convertible monthly
income preferred securities,
net of taxes 2,018 2,018 - 6,055
Additional PSOP expense due to
assumed conversion of
preferred stock, net of taxes (564) (659) - (1,995)
Interest expense on zero
coupon bonds, net of taxes 826 796 - 2,338
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Net income (loss) available
to common shares $65,262 215,804 (48,221) 675,837
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SHARES:
Basic:
Weighted average common
shares outstanding 236,244 229,885 235,214 230,101
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Diluted:
Weighted average common
shares outstanding 236,244 229,885 235,214 230,101
Additional dilutive effect of:
Assumed conversion of
preferred stock 7,530 7,760 - 7,818
Assumed conversion of
monthly income preferred
securities 7,017 7,017 - 7,017
Assumed conversion of
zero coupon bonds 2,914 2,923 - 2,923
Assumed exercise of stock
options outstanding 2,822 4,838 - 4,627
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Weighted average, as adjusted 256,527 252,423 235,214 252,486
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EARNINGS (LOSS) PER COMMON
SHARE:
Basic $0.26 0.92 (0.21) 2.88
Diluted $0.25 0.85 (0.21) 2.68
Diluted earnings per share is the same as Basic earnings per
share for the nine months ended Sept. 30, 1998 because Diluted
earnings per share calculated in accordance with SFAS No. 128 for
The St. Paul's loss from continuing operations results in anti-
dilution.