E'TOWN CORPORATION AND SUBSIDIARIES Exhibit 11
STATEMENT REGARDING COMPUTATION OF PER SHARE EARNINGS
Three Months Ended Six Months Ended Twelve Months Ended
June 30, June 30, June 30,
1998 1997 1998 1997 1998 1997
BASIC
EARNINGS
Income Before Preferred Stock
Dividends of Subsidiary $ 5,365 $ 4,608 $ 9,731 $ 8,281 $ 21,524 $ 16,667
Deduct: Preferred Stock Dividends (203) (203) (406) (406) (813) (813)
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Net Income Available for Common Stock $ 5,162 $ 4,405 $ 9,325 $ 7,875 $ 20,711 $ 15,854
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SHARES
Weighted Average Number of Common Shares 8,161 7,884 8,109 7,808 8,059 7,770
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Basic Earnings Per Share of Common Stock $ 0.63 $ 0.56 $ 1.15 $ 1.01 $ 2.57 $ 2.03
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DILUTED
EARNINGS
Income Before Preferred Stock Dividends
of Subsidiary $ 5,365 $ 4,608 $ 9,731 $ 8,281 $ 21,524 $ 16,667
Deduct: Preferred Stock Dividends (203) (203) (406) (406) (813) (813)
Add: After Tax Interest Expense Applicable
to 6 3/4% Convertible Subordinated Debentures 123 125 374 249 502 505
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Adjusted Net Income $ 5,285 $ 4,53 $ 9,699 $ 8,124 $ 21,213 $ 16,359
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SHARES
Weighted Average Number of Common Shares 8,161 7,884 8,109 7,808 8,059 7,770
Assuming Exercise of Options Reduced By the
Number Of Shares Which Could Have Been
Purchased With the Proceeds From Exercise
of Such Options 21 31 23 64 22 36
Assuming Conversion Of 6 3/4% Convertible
Subordinated Debentures (a) 282 285 283 286 283 288
Weighted Average Number of Common Shares
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Outstanding as Adjusted 8,464 8,200 8,415 8,158 8,364 8,094
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Diluted Earnings Per Share
of Common Stock $ 0.62 $ 0.55 $ 1.15 $ 1.00 $ 2.54 $ 2.02
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<FN>
(a) Convertible at $40 per share.
</FN>