EXHIBIT 11

                                MAXXAM INC.

              COMPUTATION OF NET INCOME (LOSS) PER COMMON AND
                          COMMON EQUIVALENT SHARE
        (IN MILLIONS OF DOLLARS, EXCEPT SHARE AND PER SHARE AMOUNTS)





                                                          Three Months Ended            Six Months Ended
                                                               June 30,                     June 30,
                                                       ------------------------    --------------------------
                                                          1995          1994           1995           1994
                                                       ---------    -----------    -----------    -----------
                                                                                      
                    Weighted average common and
                         common equivalent shares
                         outstanding during each
                         period                        9,376,703      9,376,703      9,376,703     9,376,703 
                    Common equivalent shares
                         attributable to stock
                         options and convertible
                         securities                       71,175         71,175         71,175        71,175 
                                                       ---------    -----------    -----------    -----------
                         Total common and common
                              equivalent shares        9,447,878      9,447,878      9,447,878     9,447,878 
                                                       =========    ===========    ===========    ===========

                    Income (loss) before
                         extraordinary item            $    25.4    $     (43.2)        $ 24.4    $    (77.7)
                    Extraordinary item                         -              -              -          (5.4)
                                                       ---------    -----------    -----------    -----------
                    Net income (loss)                  $    25.4    $     (43.2)   $      24.4    $    (83.1)
                                                       =========    ===========    ===========    ===========


                    Per common and common equivalent 
                         share:
                         Income (loss) before
                              extraordinary item       $    2.69    $     (4.57)   $      2.58    $    (8.22)
                         Extraordinary item                    -              -              -          (.57)
                                                       ---------    -----------    -----------    -----------
                         Net income (loss)             $    2.69    $     (4.57)   $      2.58    $    (8.79)
                                                       =========    ===========    ===========    ===========