BANDAG, INCORPORATED AND SUBSIDIARIES Exhibit 11 COMPUTATION OF EARNINGS PER SHARE For The Three For the Six Months Ended Months Ended June 30, June 30, 1995 1994 1995 1994 (In thousands except per share data) Net earnings per common and common equivalent share: Weighted average number of shares of Common Stock, Class A Common Stock and Class B Common Stock outstanding 25,728 26,994 25,895 27,052 Additional shares assuming exercise of dilutive stock options - based on treasury stock method using average market price 119 112 119 112 ______ ______ ______ ______ AVERAGE NUMBER OF COMMON AND COMMON EQUIVALENT SHARES 25,847 27,106 26,014 27,164 ====== ====== ====== ====== Net earnings $24,910 $21,645 $44,489 $37,076 ====== ====== ====== ====== Net earnings per common and common equivalent share $0.96 $0.79 $1.71 $1.36 ====== ====== ====== ====== Net earnings per common share assuming full dilution: Weighted average shares outstanding 25,728 26,994 25,895 27,052 Additional shares assuming exercise of dilutive stock options-based on the treasury stock method using the month-end price if higher than the average market price 123 112 123 112 ______ ______ ______ ______ FULLY-DILUTED AVERAGE NUMBER OF COMMON AND COMMON EQUIVALENT SHARES 25,851 27,106 26,018 27,164 ====== ====== ====== ====== Net earnings $24,910 $21,645 $44,489 $37,076 ====== ====== ====== ====== Net earnings per common and common equivalent share $0.96 $0.79 $1.71 $1.36 ====== ====== ====== ======