EXHIBIT 11
UNION CARBIDE CORPORATION AND SUBSIDIARIES
COMPUTATION OF EARNINGS PER SHARE FOR THE FIVE YEARS ENDED DECEMBER 31, 1995
(In millions of dollars except per share amounts)
Year Ended December 31,
1995 1994
Earnings Per Share - Primary
Income (loss) from continuing operations $ 925 $ 389
Less: Preferred stock dividend 13 13
Net income (loss) from continuing operations
for primary income calculation 912 376
Income from discontinued operations - -
Cumulative effect of accounting changes - -
Net income (loss) - common stockholders $ 912 $ 376
Weighted average number of common
and common equivalent shares applicable
to primary earnings per share calculation
Weighted average number of
shares outstanding 137,219,676 149,904,755
Dilutive effect of stock options 4,443,980 4,270,033
141,663,656 154,174,788
Earnings per share - primary
Income (loss) from continuing operations $ 6.44 $ 2.44
Discontinued operations - -
Cumulative effect of accounting changes - -
Net income (loss) - common stockholders $ 6.44 $ 2.44
Earnings Per Share Assuming Full Dilution
Income (loss) from continuing operations $ 925 $ 389
Plus: Interest on convertible debentures
(net of taxes) - -
Less: Additional ESOP contribution resulting
from assumed conversion of preferred
stock 1 1
Income (loss) from continuing operations
for fully diluted income calculation 924 388
Income from discontinued operations - -
Cumulative effect of accounting changes - -
Net income (loss) for fully diluted
income calculation $ 924 $ 388
Weighted average number of common
and common equivalent shares applicable to
fully diluted earnings per share calculation
Weighted average number of
shares outstanding 137,219,676 149,904,755
Dilutive effect of stock options 4,819,502 4,439,006
Shares issuable upon conversion of UCC
convertible debentures - -
Shares issuable upon conversion of UCC
convertible preferred stock 16,341,367 16,542,644
158,380,545 170,886,405
Per share assuming full dilution
Income (loss) from continuing operations $ 5.83 $ 2.27
Discontinued operations - -
Cumulative effect of accounting changes - -
Net income (loss) $ 5.83 $ 2.27
Year Ended December 31,
1993 1992
Earnings Per Share - Primary
Income (loss) from continuing operations $ 165 $ 119
Less: Preferred stock dividend 13 17
Net income (loss) from continuing operations
for primary income calculation 152 102
Income from discontinued operations - 67
Cumulative effect of accounting changes (97) (361)
Net income (loss) - common stockholders $ 55 $ (192)
Weighted average number of common
and common equivalent shares applicable
to primary earnings per share calculation
Weighted average number of
shares outstanding 147,821,255 129,723,738
Dilutive effect of stock options 3,549,905 2,625,735
151,371,160 132,349,473
Earnings per share - primary
Income (loss) from continuing operations $ 1.00 $ 0.76
Discontinued operations - 0.51
Cumulative effect of accounting changes (0.64) (2.73)
Net income (loss) - common stockholders $ 0.36 $(1.46)
Earnings Per Share Assuming Full Dilution
Income (loss) from continuing operations $ 165 $ 119
Plus: Interest on convertible debentures
(net of taxes) 4 17
Less: Additional ESOP contribution resulting
from assumed conversion of preferred
stock 1 7
Income (loss) from continuing operations
for fully diluted income calculation 168 129
Income from discontinued operations - 67
Cumulative effect of accounting changes (97) (361)
Net income (loss) for fully diluted
income calculation $ 71 $ (165)
Weighted average number of common
and common equivalent shares applicable to
fully diluted earnings per share calculation
Weighted average number of
shares outstanding 147,821,255 129,723,738
Dilutive effect of stock options 4,244,866 4,038,716
Shares issuable upon conversion of UCC
convertible debentures 4,482,931 15,774,784
Shares issuable upon conversion of UCC
convertible preferred stock 16,796,109 14,655,935
173,345,161 164,193,173
Per share assuming full dilution
Income (loss) from continuing operations $ 0.97 $ 0.78
Discontinued operations - 0.41
Cumulative effect of accounting changes (0.56) (2.20)
Net income (loss) $ 0.41 * $(1.01)*
Year Ended December 31,
1991
Earnings Per Share - Primary
Income (loss) from continuing operations $ (116)
Less: Preferred stock dividend 19
Net income (loss) from continuing operations
for primary income calculation (135)
Income from discontinued operations 107
Cumulative effect of accounting changes -
Net income (loss) - common stockholders $ (28)
Weighted average number of common
and common equivalent shares applicable
to primary earnings per share calculation
Weighted average number of
shares outstanding 126,449,140
Dilutive effect of stock options 327,068
126,776,208
Earnings per share - primary
Income (loss) from continuing operations $(1.06)
Discontinued operations 0.84
Cumulative effect of accounting changes -
Net income (loss) - common stockholders $(0.22)
Earnings Per Share Assuming Full Dilution
Income (loss) from continuing operations $ (116)
Plus: Interest on convertible debentures
(net of taxes) 17
Less: Additional ESOP contribution resulting
from assumed conversion of preferred
stock 4
Income (loss) from continuing operations
for fully diluted income calculation (103)
Income from discontinued operations 107
Cumulative effect of accounting changes -
Net income (loss) for fully diluted
income calculation $ 4
Weighted average number of common
and common equivalent shares applicable to
fully diluted earnings per share calculation
Weighted average number of
shares outstanding 126,449,140
Dilutive effect of stock options 392,058
Shares issuable upon conversion of UCC
convertible debentures 9,718,310
Shares issuable upon conversion of UCC
convertible preferred stock 15,116,167
151,675,675
Per share assuming full dilution
Income (loss) from continuing operations $(0.68)
Discontinued operations 0.71
Cumulative effect of accounting changes -
Net income (loss) $ 0.03*
* Fully diluted per share amounts are not presented in the consolidated
statements of income where amounts are antidilutive.