EXHIBIT 11.1 NEWBRIDGE NETWORKS CORPORATION COMPUTATION OF EARNINGS PER SHARE (Accounting principles generally accepted in Canada) (Canadian dollars, amounts in thousands except per share data) (Unaudited) Fiscal quarter ended -------------------- July 28, July 30, Basic earnings per share 1996 1995 --------- -------- Net earnings $ 60,801 $ 37,112 ========= ======== Common Shares outstanding at the beginning of the period 84,338 82,257 Weighted average number of Common Shares issued during the period 276 300 --------- -------- Weighted average number of Common Shares outstanding during the period 84,614 82,557 ========= ======== Basic earnings per share $ 0.72 $ 0.45 ========= ======== Fully diluted earnings per share Earnings before imputed earnings $ 60,801 $ 37,112 After tax imputed earnings from the investment of funds received through dilution 2,883 2,365 --------- -------- Adjusted net earnings $ 63,684 $ 39,477 ========= ======== Weighted average number of Common Shares outstanding during the period 84,614 82,557 Weighted average common share equivalents based on conversion of outstanding stock options 6,241 6,855 --------- -------- Weighted average number of Common Shares and equivalents outstanding during the period 90,855 89,412 ========= ======== Fully diluted earnings per share $ 0.70 $ 0.44 ========= ======== Earnings per share expressed in U.S. Dollars Daily average exchange rate of a Canadian dollar for U.S. dollars as reported by the Federal Reserve Bank of New York $ 0.7309 $ 0.7320 Basic earnings per share, in U.S. dollars $ 0.53 $ 0.33 ========= ======== Fully diluted earnings per share, in U.S. dollars $ 0.51 $ 0.32 ========= ======== (Page 22 of 23)