PUBLIC STORAGE, INC. EXHIBIT 11 - STATEMENT RE: COMPUTATION OF EARNINGS PER SHARE For the three months ended For the nine months ended September 30, September 30, ------------------------------- ------------------------------- EARNINGS PER SHARE: 1999 1998 1999 1998 - --------------------------------------------------------- ------------ ------------ ------------ ------------ (Amounts in thousands, except per share data) Net income.......................................... $ 76,752 $ 62,286 $ 212,245 $ 167,849 Less: Preferred Stock dividends: 10% Cumulative Preferred Stock, Series A............ (1,141) (1,140) (3,422) (3,420) 9.20% Cumulative Preferred Stock, Series B.......... (1,372) (1,372) (4,116) (4,116) Adjustable Rate Preferred Stock, Series C........... (506) (506) (1,519) (1,518) 9.50% Cumulative Preferred Stock, Series D.......... (713) (713) (2,137) (2,139) 10.0% Cumulative Preferred Stock, Series E.......... (1,372) (1,372) (4,116) (4,116) 9.75% Cumulative Preferred Stock, Series F.......... (1,401) (1,401) (4,205) (4,203) 8.875% Cumulative Preferred Stock, Series G......... (3,827) (3,828) (11,482) (11,484) 8.45% Cumulative Preferred Stock, Series H.......... (3,565) (3,565) (10,694) (10,695) 8.625% Cumulative Preferred Stock, Series I......... (2,156) (2,156) (6,469) (6,468) 8.00% Cumulative Preferred Stock, Series J.......... (3,000) (3,000) (9,000) (9,000) 8.25% Cumulative Preferred Stock, Series K.......... (2,372) - (6,668) - 8.25% Cumulative Preferred Stock, Series L.......... (2,372) - (5,323) - 8.75% Cumulative Preferred Stock, Series M.......... (615) - (615) - 8.25% Convertible Preferred Stock................... - - - (2,163) ------------ ------------ ------------ ------------ Total preferred dividends (24,412) (19,053) (69,766) (59,322) ------------ ------------ ------------ ------------ Net income allocable to common shareholders......... $ 52,340 $ 43,233 $ 142,479 $ 108,527 ============ ============ ============ ============ Weighted average common shares outstanding: Basic - weighted average common shares outstanding... 129,041 116,421 125,561 113,311 Effect of dilutive stock options - based on treasury stock method using average market price.......... 208 305 272 451 ------------ ------------ ------------ ------------ Diluted weighted average common shares outstanding.. 129,249 116,726 125,833 113,762 ============ ============ ============ ============ Basic earnings per common share $0.41 $0.37 $1.13 $0.96 ============ ============ ============ ============ Diluted earnings per common share $0.40 $0.37 $1.13 $0.95 ============ ============ ============ ============ Exhibit 11 For the three months ended For the nine months ended September 30, September 30, ------------------------------- ------------------------------- DILUTED EARNINGS PER SHARE, ASSUMING CONVERSION OF ANTI-DILUTIVE SECURITIES: 1999 1998 1999 1998 - --------------------------------------------------------- ------------ ------------ ------------ ------------ (Amounts in thousand, except per share data) Net income allocable to common shareholders per calculation above................................. $ 52,340 $ 43,233 $ 142,479 $ 108,527 Add back applicable dividends paid to holders of Convertible Preferred Stocks: * 8.25% Convertible Preferred Stock............... - - - 2,163 ------------ ------------ ------------ ------------ Net income allocable to common shareholders for purposes of determining Diluted Earnings per Share, assuming conversion of anti-dilutive securities............ $ 52,340 $ 43,233 $ 142,479 $ 110,690 ============ ============ ============ ============ Diluted weighted average common shares outstanding....................................... 129,249 116,726 125,833 113,762 Pro forma weighted average common shares assuming conversion of Convertible Preferred Stock: * 8.25% Convertible Preferred Stock............. - - - 2,357 ------------ ------------ ------------ ------------ Weighted average common shares for purposes of computation of Diluted Earnings per Share, assuming conversion of anti-dilutive securities............ 129,249 116,726 125,833 116,119 ============ ============ ============ ============ Diluted Earnings per Common Share, assuming conversion of anti-dilutive securities (1) .................. $0.40 $0.37 $1.13 $0.95 ============ ============ ============ ============ (1) Such amounts are anti-dilutive and are not presented in the Company's consolidated financial statements. In addition, the Company has 7,000,000 shares of Class B Common Stock which are convertible into shares of the Company's Common Stock subject to the attainment of certain earnings milestone by the Company. As these earnings milestones have not been met, the conversion has not been assumed. Exhibit 11