EXHIBIT 11.1 STATEMENT RE: COMPUTATION OF HISTORICAL EARNINGS PER COMMON SHARE PROFFITT'S, INC. AND SUBSIDIARIES (in thousands, except per share data) YEAR ENDED JANUARY 28, JANUARY 29, JANUARY 30, 1995 1994 1993 PRIMARY: Average shares outstanding 9,784 9,051 6,455 Net effect of dilutive stock options - based on the treasury stock method using average market price 128 185 136 TOTAL 9,912 9,236 6,591 Income before cumulative effect of changes in accounting methods $ 16,128 $ 5,730 $6,747 Less preferred dividends (1,694) 0 0 Income before cumulative effect of changes in accounting methods available for common $ 14,434 $ 5,730 $6,747 Cumulative effect of changes in accounting methods: Inventory costing 0 702 0 Store pre-opening 0 (369) 0 Net income $ 14,434 $ 6,063 $6,747 Earnings per common share before cumulative effect of changes in accounting methods: $ 1.46 $ 0.62 $ 1.02 Cumulative effect of changes in accounting methods: Inventory costing 0.00 0.08 0.00 Store pre-opening 0.00 (0.04) 0.00 Fully diluted earnings per share $ 1.46 $ 0.66 $ 1.02 EXHIBIT 11.1 (continued) STATEMENT RE: COMPUTATION OF HISTORICAL EARNINGS PER COMMON SHARE PROFFITT'S, INC. AND SUBSIDIARIES (in thousands, except per share data) YEAR ENDED JANUARY 28, JANUARY 29, JANUARY 30, 1995 1994 1993 FULLY DILUTED: Average shares outstanding 9,784 9,052 6,455 Net effect of dilutive stock options - based on the treasury stock method using year-end market price if higher than average price 131 185 241 Assumed conversion of 8% subordinated debenture 0 52 313 Assumed conversion of 4.75% subordinated debenture 2,020 512 0 Assumed conversion of preferred stock 1,228 0 0 TOTAL 13,163 9,801 7,009 Income before interest adjustments and cumulative effect of changes in accounting methods $16,128 $ 5,730 $6,747 Add 8% convertible subordinated debenture interest, net of federal income tax effect 0 41 248 Add 4.75% convertible subordinated debenture interest, net of federal income tax effect 2,500 633 0 Adjusted net income before cumulative effect of changes in accounting methods $18,628 $ 6,404 $6,995 Cumulative effect of changes in accounting methods: Inventory costing 0 702 0 Store pre-opening 0 (369) 0 Adjusted net income $18,628 $ 6,737 $6,995 Fully diluted earnings per common share before cumulative effect of changes in accounting methods: $ 1.42 $ 0.69 $ 1.00 Cumulative effect of changes in accounting methods: Inventory costing 0.00 0.07 0.00 Store pre-opening 0.00 (0.03) 0.00 Fully diluted earnings per share $ 1.42 $ 0.65 $ 1.00 Note/For each year shown, dilution is less than 3%; therefore, no fully diluted presentation is needed.