EXHIBIT 11.1 MASSBANK CORP. Earnings Per Share The following is a calculation of earnings per share for the three months and nine months ended September 30, 1995 and 1994. Three Months Ended Nine Months Ended Calculation of Primary September 30, September 30, Earnings Per Share 1995 1994* 1995 1994* ______________________________ ____ ____ ____ ____ Average common shares outstanding 2,736,869 2,844,741 2,762,929 2,867,831 Less: Unallocated Employee Stock Ownership Plan (ESOP) shares not committed to be released (52,800) (62,979) (52,800) (62,979) Shares assumed to be repurchased under treasury stock method of stock options 90,043 95,763 76,641 87,815 _______ _______ _______ _______ Total Shares 2,774,112 2,877,525 2,786,770 2,892,667 __________ __________ _________ _________ Net Income $2,217,000 $2,143,000 $6,512,000 $6,022,000 __________ __________ __________ __________ Per Share Amount $ 0.80 $ 0.74 $ 2.34 $ 2.08 __________ __________ __________ __________ Three Months Ended Nine Months Ended Calculation of Fully Diluted September 30, September 30, Earnings Per Share 1995 1994* 1995 1994* ______________________________ ____ ____ ____ ____ Average common shares outstanding 2,736,869 2,844,741 2,762,929 2,867,831 Less: Unallocated Employee Stock Ownership Plan (ESOP) shares not committed to be released (52,800) (62,979) (52,800) (62,979) Shares assumed to be repurchased under treasury stock method of stock options 97,088 95,763 97,088 89,535 ________ _______ _______ _______ Total Shares 2,781,157 2,877,525 2,807,217 2,894,387 _________ _________ _________ _________ Net Income $2,217,000 $2,143,000 $6,512,000 $6,022,000 __________ __________ __________ __________ Per Share Amount $ 0.80 $ 0.74 $ 2.32 $ 2.08 <FN> * Prior year total shares outstanding and earnings per share amounts have been restated to reflect the three-for-two stock split of September, 1994 to permit comparison with the current fiscal year.