EXHIBIT A
WATERHOUSE INVESTOR SERVICES, INC. AND SUBSIDIARIES
COMPUTATION OF EARNINGS PER COMMON AND COMMON EQUIVALENT SHARES
Six Months Ended Six Months Ended
February 29, 1996 February 28, 1995
Primary Fully Diluted Primary Fully Diluted
------------ ------------- ------------ -------------
Weighted average number of common shares
outstanding during the period 11,701,908 11,701,908 11,751,798 11,751,798
Weighted average number of common shares
issuable assuming full conversion of 6%
convertible subordinated notes -- 2,072,265 -- 2,072,650
Weighted average number of common shares
held in treasury (250,002) (250,002) (250,002) (250,002)
Common shares issuable assuming stock options
outstanding were exercised at the beginning of the period 190,667 228,095 20,545 63,215
------------ ------------ ------------ ------------
Weighted average number of common and common
equivalent shares outstanding at end of period 11,642,573 13,752,266 11,522,341 13,637,661
============ ============ ============ ============
Earnings applicable for common shares $ 14,147,939 $ 14,958,224 $ 7,703,904 $ 8,547,804
Earnings per common and common equivalent
shares $1.22 $1.09 $.67 $.63
15