Exhibit 11 ---------- UNION PACIFIC CORPORATION AND SUBSIDIARY COMPANIES COMPUTATION OF EARNINGS PER SHARE (Amounts in Thousands, Except Share and Per Share Amounts) (Unaudited) Nine Months Ended September 30, --------------------- 1996 1995 ------- ------- Average number of shares outstanding (1)....... 207,314 204,911 Average shares issuable on exercise of stock options less shares repurchasable from proceeds..................................... 1,135 857 ------- ------- Total average number of common and common equivalent shares............................ 208,449 205,768 ======== ======== Income from Continuing Operations.............. $504,368 $440,091 Income from Discontinued Operations............ 170,673 211,525 -------- -------- Net Income..................................... $675,041 $651,616 ======== ======== Earnings per share: Income from Continuing Operations............ $ 2.42 $ 2.14 Income from Discontinued Operations.......... 0.82 1.03 -------- -------- Net Income................................... $ 3.24 $ 3.17 ======== ======== <FN> (1) In connection with the Southern Pacific acquisition, on September 11, 1996, the Corporation issued 38.1 million shares of its common stock in exchange for 60% of Southern Pacific's shares. As a result, average common stock outstanding used in the computation of earnings per share will increase in future periods.