Alaska Air Group, Inc. EXHIBIT 11
Computation of Earnings Per Common Share
(In thousands, except per share)
1994 1993 1992
------ ------ ------
Primary -
Income (loss) before accounting change $22,531 ($30,918) ($80,270)
Deduct dividends on preferred shares - (2,429) (6,400)
Deduct preferred stock accretion - (96) (288)
------ ------ ------
Income (loss) before accounting change
applicable to common shares 22,531 (33,443) (86,958)
Cumulative effect of accounting change - - (4,567)
------ ------ ------
Income (loss) applicable to common shares $22,531 ($33,443) ($91,525)
====== ====== ======
Average number of shares outstanding 13,367 13,340 13,309
Assumed exercise of stock options reduced
by the number of shares purchased with
the proceeds from exercise of such options 11 - -
------ ------ ------
Common shares outstanding as adjusted 13,378 13,340 13,309
====== ====== ======
Earnings (loss) per common share:
Income (loss) before accounting change $1.68 ($2.51) ($6.53)
Cumulative effect of accounting change - - (0.34)
------ ------ ------
Net income (loss) $1.68 ($2.51) ($6.87)
====== ====== ======
Fully Diluted -
Income (loss) before accounting change $22,531 ($30,918) ($80,270)
After tax interest on convertible securities 9,252 10,008 9,573
------ ------ ------
Income (loss) before accounting change
applicable to common shares 31,783 (20,910) (70,697)
Cumulative effect of accounting change - - (4,567)
------ ------ ------
Income (loss) applicable to common shares $31,783 ($20,910) ($75,264)
====== ====== ======
Average number of shares outstanding 13,367 13,340 13,309
Assumed exercise of stock options 11 12 84
Assumed conversion of 7.75% debentures 512 518 518
Assumed conversion of 6.875% debentures 1,678 1,865 1,983
Assumed conversion of 7.25% zero coupon notes 4,030 4,277 4,277
Assumed conversion of preferred shares 0 0 2,315
------ ------ ------
Average shares as adjusted 19,598 20,012 22,486
====== ====== ======
Earnings (loss) per common share:
Income (loss) before accounting change $1.62 ($0.94) ($3.14)
Cumulative effect of accounting change - - (0.21)
------ ------ ------
Net income (loss) $1.62 ($1.04) ($3.35)
====== ====== ======
* Anti-dilutive * *