EXHIBIT 11.1 MASSBANK CORP. Earnings Per Share The following is a calculation of earnings per share for the three months ended March 31, 1996 and 1995. Three Months Ended Calculation of Primary March 31, Earnings Per Share 1996 1995 ______________________________ __________ __________ Average common shares outstanding 2,749,005 2,784,633 Less: Unallocated Employee Stock Ownership Plan (ESOP) shares not committed to be released (46,200) (52,800) Shares assumed to be repurchased under treasury stock method for stock options 80,621 65,379 __________ __________ Total Shares 2,783,426 2,797,212 __________ __________ Net Income $2,223,000 $2,126,000 __________ __________ Per Share Amount $ 0.80 $ 0.76 __________ __________ Three Months Ended Calculation of Fully Diluted March 31, Earnings Per Share 1996 1995 ______________________________ __________ __________ Average common shares outstanding 2,749,005 2,784,633 Less: Unallocated Employee Stock Ownership Plan (ESOP) shares not committed to be released (46,200) (52,800) Shares assumed to be repurchased under treasury stock method for stock options 81,649 66,023 __________ __________ Total Shares 2,784,454 2,797,856 __________ __________ Net Income $2,223,000 $2,126,000 __________ __________ Per Share Amount $ 0.80 $ 0.76 __________ __________