1 EXHIBIT 11.1 Lexant Inc. Computation of Earnings Per Share (Dollars in thousands except per share amounts) For the year ended December 31, 1997 For the year ended December 31, 1998 ------------------------------------ ------------------------------------ Income Shares Per Share Income Shares Per Share (Numerator) (Denominator) Amount (Numerator) (Denominator) Amount ----------- ------------- --------- ----------- ------------- --------- Net Income $ 2,189 $ 3,828 Less: Preferred Stock Dividends -- (301) -------------------------- -------------------------- NET INCOME PER SHARE - BASIC: Income available to common shareholders 2,189 15,144 $ 0.14 3,527 15,144 $ 0.23 ========= ======= EFFECT OF DILUTIVE SECURITIES: Convertible preferred stock -- -- 301 2,448 Common stock options -- -- -- -- -------------------------- -------------------------- NET INCOME PER SHARE - DILUTED: Income available to common shareholders plus assumed conversions $ 2,189 15,144 $ 0.14 $ 3,828 17,593 $ 0.22 ============================================================================== For the year ended December 31, 1999 ------------------------------------ Income Shares Per Share (Numerator) (Denominator) Amount ----------- ------------- --------- Net Income $ 9,256 Less: Preferred Stock Dividends (690) -------------------------- NET INCOME PER SHARE - BASIC: Income available to common shareholders 8,566 15,147 $ 0.57 ========= EFFECT OF DILUTIVE SECURITIES: Convertible preferred stock 690 5,827 Common stock options -- 888 -------------------------- NET INCOME PER SHARE - DILUTED: Income available to common shareholders plus assumed conversions $ 9,256 21,862 $ 0.42 =====================================