EXHIBIT 11 THE BEAR STEARNS COMPANIES INC. STATEMENT RE COMPUTATION OF PER SHARE EARNINGS (UNAUDITED) Three-Months Nine-Months Ended Ended ------------------------------------- ----------------------------------- March 27, March 27, March 27, March 27, 1998 1997 1998 1997 ------------------------------------- ----------------------------------- (In thousands, except per share data) Weighted average common and common equivalent shares outstanding: Average Common Stock outstanding 115,361 119,995 117,174 122,051 Average Common Stock equivalents: Common Stock issuable under employee benefit plans 459 438 460 429 Common Stock issuable assuming conversion of CAP Units 34,265 26,499 34,265 26,499 ----------------- ----------------- ----------------- -------------- Total weighted average common and common equivalent shares outstanding 150,085 146,932 151,899 148,979 ================= ================= ================= ============== Net income $166,319 $165,481 $488,159 $450,442 Preferred Stock dividend requirements (9,126) (5,929) (20,975) (17,899) Income adjustment (net of tax) applicable to deferred compensation arrangements 15,249 7,674 44,054 22,357 ----------------- ----------------- ----------------- -------------- Adjusted net income $172,442 $167,226 $511,238 $454,900 ================= ================= ================= ============== Earnings per share $ 1.15 $ 1.14 $ 3.37 $ 3.05 ================= ================= ================= ==============