Community Bank System, Inc.
Statement re Earnings Per Share Computation
Exhibit 11
Three Months Ended Year Ended
December 31, December 31,
1996 1995 1996 1995
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Primary Earnings Per Share
Net Income 3,677,991 3,116,887 14,133,044 11,469,905
Dividends on
preferred shares (101,250) (151,875) (405,000) (354,375)
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Income applicable
to common stock 3,576,741 2,965,012 13,728,044 11,115,530
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Weighted average number
of common shares 3,728,789 3,675,921 3,741,259 3,261,205
Add: Shares issuable from
assumed exercise of
incentive stock options 49,577 36,848 37,653 32,561
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Weighted average number of
common shares - adjusted 3,778,366 3,712,769 3,741,259 3,261,205
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Primary earnings per share $0.95 $0.80 $3.67 $3.41
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Fully Diluted Earnings Per Share
Income applicable to
common stock 3,576,741 2,965,012 13,278,044 11,115,530
========= ========= ========== ==========
Weighted average number of
common shares - adjusted 3,782,869 3,712,769 3,759,051 3,271,305
Add: Equivalent number of
common shares assuming
conversion of preferred
Weighted average number of
common shares - adjusted 3,782,869 3,712,769 3,759,051 3,271,305
========= ========= ========= =========
Fully diluted earnings per share $0.95 $0.80 $3.65 $3.40
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