XL CAPITAL LTD
COMPUTATION OF EARNINGS PER ORDINARY SHARE
AND ORDINARY SHARE EQUIVALENT
(U.S. DOLLARS AND SHARES IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
THREE MONTHS ENDED
MARCH 31
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2000 1999
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(UNAUDITED)
BASIC EARNINGS PER SHARE:
Net income.................................................. $223,759 $209,812
Weighted average ordinary shares outstanding................ 125,671 128,414
Basic earnings per share.................................... $ 1.78 $ 1.63
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DILUTED EARNINGS PER SHARE:
Net income.................................................. $223,759 $209,812
Add back after-tax interest on convertible debentures....... -- 876
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Adjusted net income......................................... 223,759 210,688
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Weighted average ordinary shares outstanding-basic.......... 125,671 128,414
Average stock options outstanding (1)....................... 1,093 1,970
Assumed conversion of convertible debentures (2)............ -- 2,020
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Weighted average ordinary shares outstanding-diluted........ 126,764 132,404
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Diluted earnings per share.................................. $ 1.77 $ 1.58
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DIVIDENDS PER SHARE......................................... $ 0.45 $ 0.44
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(1) Net of shares repurchased under the treasury stock method.
(2) 1999 reflects the assumed conversion of the 5.25% Convertible Subordinated
Debentures due 2000, formerly issued by NAC Re. These debentures were called
in June 1999 and the actual conversion is reflected in 1999.