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EXHIBIT 11
ITT CORPORATION AND SUBSIDIARIES
CALCULATION OF EARNINGS PER SHARE
(In millions except per share)
SIX MONTHS
ENDED
JUNE 30,
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1995 1994
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PRIMARY BASIS --
Net income............................................................... $ 840 $ 460
ESOP preferred dividends -- net of tax................................... (17) (17)
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Net income applicable to primary earnings per share........................ $ 823 $ 443
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Average common shares outstanding........................................ 106 117
Common shares issuable in respect to common stock equivalents............ 1 2
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Average common equivalent shares......................................... 107 119
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Earnings Per Share
Continuing operations.................................................... $ .69 $ .68
Discontinued operations.................................................. 6.97 3.16
Cumulative effect of accounting changes.................................. -- (.10)
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Net income............................................................... $7.66 $3.74
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FULLY DILUTED BASIS --
Net income applicable to primary earnings per share...................... $ 823 $ 443
ESOP preferred dividends -- net of tax................................... 17 17
If converted ESOP expense adjustment -- net of tax benefit............... (10) (10)
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Net income applicable to fully diluted earnings per share................ $ 830 $ 450
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Average common equivalent shares......................................... 107 119
Additional common shares issuable assuming full dilution................. 10 9
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Average common equivalent shares assuming full dilution.................. 117 128
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Earnings Per Share
Continuing operations.................................................... $ .69 $ .69
Discontinued operations.................................................. 6.39 2.91
Cumulative effect of accounting changes.................................. -- (.09)
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Net income............................................................... $7.08 $3.51
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The Series N convertible preferred stock is considered a common stock
equivalent. With respect to options, it is assumed that the proceeds to be
received upon exercise are used to acquire common stock of the Corporation. The
calculation impact of dilutive securities is determined quarterly based on the
forecast of annual earnings.
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