EXHIBIT 11 MAXXAM INC. COMPUTATION OF NET INCOME PER COMMON AND COMMON EQUIVALENT SHARE (IN MILLIONS OF DOLLARS, EXCEPT SHARE AND PER SHARE AMOUNTS) Three Months Ended Nine Months Ended September 30, September 30, --------------------------- --------------------------- 1997 1996 1997 1996 ------------- ------------- ------------- ------------- Weighted average common and common equivalent shares outstanding during each period 8,958,578 9,377,029 9,160,220 9,376,812 Common equivalent shares attributable to stock options and convertible securities 135,661 89,465 110,761 91,871 ------------- ------------- ------------- ------------- Weighted average common and common equivalent shares 9,094,239 9,466,494 9,270,981 9,468,683 ============= ============= ============= ============= Net income $ 18.0 $ 5.3 $ 50.6 $ 28.0 ============= ============= ============= ============= Net income per common and common equivalent share $ 1.98 $ .56 $ 5.46 $ 2.96 ============= ============= ============= =============