Exhibit 11 ALLMERICA FINANCIAL CORPORATION STATEMENT RE: COMPUTATION OF PER SHARE EARNINGS For the Year Ended December 31, 1997 (in millions, except per share data) (Unaudited) Year Ended Year Ended December 31, December 31, 1997 1996 ------------ ------------ Basic: Average shares outstanding........................................ 54.7 50.1 Net effect of dilutive stock options based on the treasury stock - - method using average market price................................ ------------ ------------ TOTALS............................................................. 54.7 50.1 ============ ============ Net income........................................................ $209.2 $181.9 ============ ============ Per share amount.................................................. $ 3.83 $ 3.63 Diluted: Average shares outstanding........................................ 54.7 50.1 Net effect of dilutive stock options based on the treasury stock method using the higher of period end or average market price.... 0.1 - ------------ ------------ TOTALS............................................................. 54.8 50.1 ============ ============ Net income........................................................ $209.2 $181.9 ============ ============ Per share amount.................................................. $ 3.82 $ 3.63 61