EXHIBIT 11
INDEPENDENCE HOLDING COMPANY
Computation of Per Share Earnings
(In Thousands, Except Per Share Amounts)
THREE MONTHS ENDED
MARCH 31,
1998 1997
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INCOME:
Net income..............................$ 2,491 $ 2,260
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SHARES:
Weighted average common
shares outstanding..................... 7,430 7,432
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BASIC INCOME PER SHARE:
Net income per share....................$ .34 $ .30
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DILUTED EARNINGS PER SHARE (A)
USE OF PROCEEDS:
Assumed exercise of options.............$ 2,541 $ 1,835
Tax benefit from assumed exercise of
options................................ 823 -
Repurchase of treasury stock at the
average market price per share of
$13.03 and $7.32, respectively......... (3,364) (1,835)
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Assumed balance to be invested..........$ - $ -
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SHARES:
Weighted average shares outstanding..... 7,430 7,432
Shares assumed issued for options....... 381 294
Treasury stock assumed purchased........ (258) (251)
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Adjusted average shares outstanding..... 7,553 7,475
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DILUTED INCOME PER SHARE:
Net income per share.....................$ .33 $ .30
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(A) Warrants were not assumed to be exercised as the effect
would have been anti-dilutive.