EXHIBIT 11.1
AUTHENTIC FITNESS CORPORATION
CALCULATION OF NET INCOME PER COMMON SHARE
FISCAL YEAR ENDED
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JULY 2, JULY 1, JULY 6,
1994 1995 1996
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Net income before extraordinary item............................... $ 9,581,000 $19,474,000 $(39,353,000)
Extraordinary items -- net of income tax benefit of
$926,000 -- 1993 and $705,000 -- 1996....................... (1,591,000) -- (1,497,000)
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Net income......................................................... $ 7,990,000 $19,474,000 $(40,850,000)
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Common stock outstanding:
Common shares................................................. 13,660,284 17,724,438 17,724,438
Common shares issued in public offerings during the year...... 2,164,835 -- 1,756,046
Shares issued due to exercise of options...................... 18,244 54,490 126,926
Common stock equivalents:
Series A Warrant(1)...................................... 3,618,358 3,618,358 --
Shares deemed issued for outstanding options using the
Treasury Stock method(1).................................... 262,091 314,343 --
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Total weighted average common stock and common stock equivalent
shares outstanding............................................... 19,723,812 21,711,629 19,607,410
Net income per share:
Net income per share before extraordinary item........... $ 0.49 $ 0.90 $ (2.00)
Extraordinary item............................................ (0.08) -- (0.08)
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Net income per share............................................... $ 0.41 $ 0.90 $ (2.08)
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(1) Common stock equivalents are not included in the fiscal 1996 calculation of
weighted average shares of common stock outstanding as the impact on net
income per share is anti-dilutive due to the Company's net loss for fiscal
1996.