EXHIBIT 11.1 FRED'S, INC. COMPUTATION OF NET INCOME PER SHARE (unaudited) (in thousands, except for per share amounts) Years Ended February 3, January 28, January 29, 1996 1995 1994 Primary net income per share Net income $2,733 $8,373 $9,742 ===== ===== ===== Weighted average number of common shares outstanding during the period 9,322 9,307 9,307 Additional shares attributable to common stock equivalents - - - ----- ----- ----- 9,322 9,307 9,307 ===== ===== ===== Net income per share $ .29 $ .90 $ 1.05 ===== ===== ===== Fully diluted net income per share Net income $2,733 $8,373 $9,742 ===== ===== ===== Weighted average number of common shares outstanding during the period 9,322 9,307 9,307 Additional shares attributable to common stock equivalents - - - ----- ----- ----- 9,322 9,307 9,307 ===== ===== ===== Net income per share $ .29 $ .90 $ 1.05 ===== ===== =====