EXHIBIT 11
PROMUS HOTEL CORPORATION
COMPUTATION OF PER SHARE EARNINGS
1996 1995(1) 1994(1)
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Income before extraordinary items................................... $ 64,724,000 $ 43,760,000 $ 36,319,000
Extraordinary items, net of income tax.............................. - 2,819,000 -
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Net income.......................................................... $ 64,724,000 $ 46,579,000 $ 36,319,000
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PRIMARY EARNINGS PER SHARE
Weighted average number of common shares outstanding................ 51,387,321 51,365,016 51,360,013
Common stock equivalents
Additional shares based on average market price for the period
applicable to
Restricted stock................................................ (28,881) (26,295) (39,090)
Stock options................................................... 331,534 229,839 252,002
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Average number of primary common and common equivalent shares
outstanding....................................................... 51,689,974 51,568,560 51,572,925
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Primary earnings per common and common equivalent share
Income before extraordinary items............................... $ 1.25 $ 0.85 $ 0.70
Extraordinary items, net of income tax.......................... - 0.05 -
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Net income...................................................... $ 1.25 $ 0.90 $ 0.70
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FULLY DILUTED EARNINGS PER SHARE
Average number of primary common and common equivalent shares
outstanding....................................................... 51,689,974 51,568,560 51,572,925
Change in shares based on period-end price applicable to
Restricted stock................................................ 6,897 - -
Stock options................................................... 33,364 - -
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Average number of fully diluted common and common equivalent shares
outstanding....................................................... 51,730,235 51,568,560 51,572,925
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Fully diluted earnings per common and common equivalent share
Income before extraordinary items............................... $ 1.25 $ 0.85 $ 0.70
Extraordinary items, net of income tax.......................... - 0.05 -
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Net income...................................................... $ 1.25 $ 0.90 $ 0.70
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(1) For purposes of computing pro forma earnings per share on a comparable
basis, the weighted average shares outstanding for periods prior to the
Spin-Off are assumed to be equal to the actual common and common equivalent
shares outstanding on June 30, 1995.