SMITHFIELD FOODS, INC. EXHIBIT 11 COMPUTATION OF NET INCOME (LOSS) PER COMMON SHARE Net income (loss) and the number of common shares and common equivalent shares used to present net income (loss) per common share were computed as follows: 13 Weeks 13 Weeks 26 Weeks 26 Weeks Ended Ended Ended Ended Income (loss) (in thousands) Oct. 27, 1996 Oct. 29, 1995 Oct. 27, 1996 Oct. 29, 1995 - ---------------------------- ------------- ------------- ------------- ------------- Net income $ 9,017 $ 4,615 $ 9,763 $ 221 Dividends accumulated for Series B and C preferred stock (337) (184) (675) (352) -------- -------- -------- -------- Net income (loss) available to common stockholders $ 8,680 $ 4,431 $ 9,088 $ (131) ======== ======== ======== ======== Common shares (in thousands) Weighted average common shares: Outstanding 18,017 16,421 18,016 16,409 Net effect of dilutive stock options 678 500 627 500 -------- -------- -------- -------- Common shares for computation 18,695 16,921 18,643 16,909 ======== ======== ======== ======== Net income (loss) per common share $ .46 $ .26 $ .49 $ (.01) ======== ======== ======== ========