1 Exhibit 11.1 PETE'S BREWING COMPANY AND SUBSIDIARY COMPUTATION OF NET INCOME PER SHARE IN ACCORDANCE WITH INTERPRETIVE RELEASE NO. 34-9083 (in thousands, except per-share amounts) For the three months ended March 31, ------------------- 1998 1997 ------ ------ Weighted average common shares outstanding for the period........... 10,817 10,742 Common equivalent shares assuming conversion of stock options and warrants under the treasury stock method............................... -0- -0- Shares used in per share calculation..... 10,817 10,742 ====== ====== Net loss ............................ $(1,777) $ (2,820) ======== ========= Net loss per share....................... $ (0.16) $ (0.26) ======== ======== -18-