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EXHIBIT 11
RITE AID CORPORATION AND SUBSIDIARIES
STATEMENT REGARDING COMPUTATION OF PER SHARE EARNINGS
YEARS ENDED FEBRUARY 28, 1998, MARCH 1, 1997
AND MARCH 2, 1996
(IN THOUSANDS EXCEPT PER SHARE AMOUNTS)
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1998 1997 1996
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Numerator for basic earnings per share:
Income before extraordinary loss $ 316,435 $ 160,534 $ 158,947
Extraordinary loss -- (45,157) --
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Net income $ 316,435 $ 115,377 $ 158,947
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Basic weighted average shares 250,638,000 184,422,000 167,616,000
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Basic earnings per share:
Income before extraordinary loss $ 1.26 $ .87 $ .95
Extraordinary loss -- (.24) --
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Net income $ 1.26 $ .63 $ .95
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Numerator for diluted earnings per share:
Income before extraordinary loss $ 316,435 $ 160,534 $ 158,947
Effect of dilutive securities:
6.75% zero coupon convertible subordinated notes (a) 5,281 8,245 8,356
5.25% convertible subordinated notes (a) 9,920 -- --
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Income before extraordinary loss assuming dilution 331,636 168,779 167,303
Extraordinary loss -- (45,157) --
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Net income assuming dilution $ 331,636 $ 123,622 $ 167,303
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Denominator for diluted earnings per share:
Basic weighted average shares 250,638,000 184,422,000 167,616,000
Effect of dilutive securities:
Employee stock options 5,512,000 2,450,000 1,706,000
6.75% zero coupon convertible subordinated notes 7,034,000 11,886,000 12,790,000
5.25% convertible subordinated notes 8,450,000 -- --
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Dilutive potential common shares 20,996,000 14,336,000 14,496,000
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Diluted weighted average shares 271,634,000 198,758,000 182,112,000
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Diluted earnings per share:
Income before extraordinary loss assuming dilution $ 1.22 $ .85 $ .92
Extraordinary loss -- (.23) --
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Net income assuming dilution $ 1.22 $ .62 $ .92
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(a) Shown net of income taxes which were calculated at the registrant's tax
rate.