EXHIBIT 11

                          CHALLENGER INTERNATIONAL, LTD

                        CALCULATION OF EARNINGS PER SHARE

                                   (UNAUDITED)





                                                          THREE MONTHS      Three months       SIX MONTHS         Six months 
                                                              ENDED            ended             ENDED              ended        
                                                            APRIL 30          April 30          APRIL 30           April 30
                                                         ---------------- ----------------- ----------------- -----------------
                                                              1995              1994              1995              1994
                                                         ---------------- ----------------- ----------------- -----------------
                                                                                                               
Primary and Fully Diluted Loss Per Share

Shares in issue beginning of period                           10,583,142         9,863,142       10,583,142          9,863,142
Shares issued (weighted average)                                 348,987            63,562          348,987             52,665
                                                         ---------------- ----------------- ----------------- -----------------
       Weighted average shares in issue end of period         10,932,129         9,926,704       10,932,129          9,915,808

Dilutive Common Stock Equivalents
           (weighted average)
       Savage Arms Series A convertible redeemable
           preferred stock (weighted average)                          -          600,000                 -            600,000
       Savage Arms Series C convertible redeemable
           preferred stock (weighted average)                    160,991          160,991           160,991            160,991
       Other stock options using treasury stock method           267,934          354,975           264,469            427,657
                                                         ---------------- ----------------- ----------------- -----------------
Total weighted average common shares and
           common stock equivalents                           11,361,054       11,031,774        11,357,588         11,104,455
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NET INCOME FOR PERIOD
           (thousands of U.S. Dollars)                   $           805  $           771   $         1,110   $            962
                                                         ================ ================= ================= =================

EARNINGS PER  SHARE                                      $          0.07  $          0.07   $          0.10   $           0.09
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