EXHIBIT 11
CHATTEM, INC. AND SUBSIDIARIES
STATEMENT REGARDING COMPUTATION OF PER SHARE EARNINGS
(UNAUDITED AND IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
FOR THE THREE MONTHS FOR THE NINE MONTHS
ENDED AUGUST 31, ENDED AUGUST 31,
----------------------- ----------------------
2000 1999 2000 1999
-------- --------- -------- ---------
NET INCOME:
Income before extraordinary loss and change
in accounting principle.......................... $ 5,151 $ 5,957 $ 14,978 $ 16,455
Extraordinary loss................................. -- (533) (110) (2,117)
Change in accounting principle..................... -- -- (542) --
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Net income....................................... $ 5,151 $ 5,424 $ 14,326 $ 14,338
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COMMON SHARES:
Weighted average number outstanding................ 9,310 9,774 9,508 9,742
Number issued upon assumed exercise
of outstanding stock options and stock........... 69 265 103 295
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Weighted average and dilutive potential
number outstanding................................ 9,379 10,039 9,611 10,037
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NET INCOME ( LOSS) PER COMMON SHARE:
Basic:
Income before extraordinary loss and change
in accounting principle....................... $ .55 $ .61 $ 1.58 $ 1.69
Extraordinary loss.............................. -- (.05) (.01) (.22)
Change in accounting principle.................. -- -- (.06) --
---------- ---------- --------- ---------
Total basic................................. $ .55 $ .56 $ 1.51 $ 1.47
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Diluted:
Income before extraordinary loss and change
in accounting principle........................ $ .55 $ .59 $ 1.56 $ 1.64
Extraordinary loss.............................. -- (.05) (.01) (.21)
Change in accounting principle.................. -- -- (.06) --
---------- ---------- --------- ---------
Total diluted............................... $ .55 $ .54 $ 1.49 $ 1.43
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