1 Exhibit 11.1 Computation of Per Share Earnings(1) Years Ended December 31, ------------------------------------------------ 1994 1995 1996 ---------- -------- --------- (In thousands, except per share amounts) Weighted Average Shares Common stock outstanding 96,962 101,943 105,301 Common stock equivalents, treasury stock method 9,480 12,119 14,731 ------- ------- ------- 106,442 114,062 120,032 ======= ======= ======= Net Income Per Common Share Net income applicable to common stockholders $ 13,081 $ 27,338 $ 35,861 Shares used in per common share computation 106,442 114,062 120,032 Net income per common share $ 0.12 $ 0.24 $ 0.30 (1) In November 1996, the Company effected a two-for-one split of its Common Stock. All shares, Common Stock equivalents and per share data applicable to prior periods have been restated to reflect the split. On October 16, 1996 PeopleSoft merged with Red Pepper Software Company. This merger was accounted for as a pooling-of-interests and the historical consolidated financial statements including share and per share information of PeopleSoft for prior periods have been restated to include Red Pepper.