E'TOWN CORPORATION AND SUBSIDIARIES Exhibit 11
STATEMENT REGARDING COMPUTATION OF PER SHARE EARNINGS
(In Thousands Except Per Share Amounts)
Three Months Ended Twelve Months Ended
March 31, March 31,
1998 1997 1998 1997
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BASIC
EARNINGS
Income Before Preferred Stock
Dividends of Subsidiary $ 4,366 $ 3,673 $ 20,766 $ 16,180
Deduct: Preferred Stock Dividends (203) (203) (813) (813)
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Net Income Available for Common Stock $ 4,163 $ 3,470 $ 19,953 $ 15,367
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SHARES
Weighted Average Number of Common
Shares Outstanding 8,057 7,818 7,972 7,730
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Basic Earnings Per Share of
Common Stock $ 0.52 $ 0.44 $ 2.50 $ 1.99
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DILUTED
EARNINGS
Income Before Preferred Stock
Dividends of Subsidiary $ 4,366 $ 3,673 $ 20,766 $ 16,180
Deduct: Preferred Stock Dividends (203) (203) (813) (813)
Add: After Tax Interest Expense
Applicable to 6 3/4% Convertible
Subordinated Debentures 123 128 498 522
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Adjusted Net Income $ 4,286 $ 3,598 $ 20,451 $ 15,889
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SHARES
Weighted Average Number of Common
Shares Outstanding 8,057 7,818 7,972 7,730
Assuming Exercise of Options Reduced
by the Number of Shares Which Could
Have Been Purchased With the Proceeds
From Exercise of Such Options 25 11 21 7
Assuming Conversion of 6 3/4% Convertible
Subordinated Debentures (a) 284 287 284 290
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Weighted Average Number of Common
Shares Outstanding as Adjusted 8,366 8,116 8,277 8,027
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Diluted Earnings Per Share of
Common Stock $ 0.51 $ 0.44 $ 2.47 $ 1.98
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(a) Convertible at $40 per share.