EXHIBIT 11 E'TOWN CORPORATION AND SUBSIDIARIES STATEMENT REGARDING COMPUTATION OF PER SHARE EARNINGS 1993 1992 1991 -------- -------- -------- PRIMARY ------- EARNINGS Income Before Preferred Stock Dividends of Subsidiary 14,879,828 $11,281,012 $10,535,070 Deduct: Preferred Stock Dividends 1,050,000 1,050,000 1,050,000 ----------- ----------- ----------- Net Income $13,829,828 $10,231,012 $ 9,485,070 =========== =========== =========== SHARES Weighted Average Number of Common Shares Outstanding 5,330,641 4,624,310 4,078,233 Assuming Exercise of Options Reduced by the Number of Shares Which Could Have Been Purchased With the Proceeds From Exercise of Such Options 7,298 3,504 1,885 ----------- ----------- ----------- Weighted Average Number of Common Shares Outstanding as Adjusted 5,337,939 4,627,814 4,080,118 =========== =========== =========== Primary Earnings Per Share of Common Stock $ 2.59 $ 2.21 $ 2.32 =========== =========== =========== ASSUMING FULL DILUTION ---------------------- EARNINGS Income Before Preferred Stock Dividends of Subsidiary 14,879,828 11,281,012 10,535,070 Deduct: Preferred Stock Dividends 1,050,000 1,050,000 1,050,000 Add: After Tax Interest Expense Applicable to 6 3/4% Convertible Subordinated Debentures 550,843 577,082 593,513 ----------- ----------- ----------- Adjusted Net Income $14,380,671 $10,808,094 $10,078,583 =========== =========== =========== SHARES Weighted Average Number of Common Shares Outstanding 5,330,641 4,624,310 4,078,233 Assuming Exercise of Options Reduced by the Number of Shares Which Could Have Been Purchased With the Proceeds From Exercise of Such Options 7,298 3,504 1,885 Assuming Conversion of 6 3/4% Convertible Subordinated Debentures (a) 313,869 322,954 333,060 ----------- ----------- ----------- Weighted Average Number of Common Shares Outstanding as Adjusted 5,651,808 4,950,768 4,413,178 =========== =========== =========== Fully Diluted Earnings Per Share of Common Stock $ 2.54 $ 2.18 $ 2.28 =========== =========== =========== (a) Convertible at $40 per share.