Exhibit 11 HMN Financial, Inc. Computation of Earnings Per Common Share Three Months Ended March 31, ----------------------------- Computation of Earnings Per Common Share: 1998 1997 ----------------------------- Weighted average number of common shares outstanding used in basic earnings per common share calculation . . . . . . . . . . . . 5,447,501 5,550,215 Net dilutive effect of: Options . . . . . . . . . . . . . . 403,037 255,093 Restricted stock awards . . . . . . 61,395 83,507 ----------- --------- Weighted average number of shares outstanding adjusted for effect of dilutive securities . . . . . . . . 5,911,933 5,888,815 =========== ========= Income available to common shareholders$1,663,355 1,474,480 Basic earnings per common share. . . $0.37 0.27 Diluted earnings per common share. . $0.28 0.25