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GREY ADVERTISING INC. AND CONSOLIDATED SUBSIDIARY COMPANIES
EXHIBIT - STATEMENT RE: COMPUTATION OF NET INCOME PER COMMON SHARE (UNAUDITED)
EXHIBIT - 11
FOR THE THREE MONTHS ENDED FOR THE SIX MONTHS ENDED
JUNE 30, JUNE 30,
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1996 1995 1996 1995
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PRIMARY
Weighted average shares outstanding(1) 1,266,181 1,294,583 1,267,860 1,297,331
Net effect of dilutive stock options -
based on the treasury stock method using
average market price 34,433 25,906 32,447 23,460
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TOTAL 1,300,614 1,320,489 1,300,307 1,320,791
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Net Income $6,807,000 $6,007,000 $13,070,000 $9,699,000
Less: Effect of dividend requirements and
the change in redemption value of
redeemable preferred stock (253,000) (357,000) (437,000) (644,000)
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NET EARNINGS USED IN COMPUTATION $6,554,000 $5,650,000 $12,633,000 $9,055,000
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Per share amount $5.04 $4.28 $9.72 $6.86
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FULLY DILUTED
Weighted average shares outstanding (1) 1,266,181 1,294,583 1,267,860 1,297,331
Net effect of dilutive stock options - based on
the treasury stock method using the period-end
market price, if higher than the average
market price 33,999 31,807 34,210 32,089
Assumed conversion of 8 1/2% convertible
subordinated debentures issued December 1983 50,892 50,999 50,892 50,999
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TOTAL 1,351,072 1,377,389 1,352,962 1,380,419
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Net Income $6,807,000 $6,007,000 $13,070,000 $9,699,000
Less: Effect of dividend requirements and the
change in redemption value of redeemable
preferred stock (253,000) (357,000) (437,000) (644,000)
Add: 8 1/2% convertible subordinated debentures
interest, net of income tax effect 35,000 35,000 70,000 69,000
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NET EARNINGS USED IN COMPUTATION $6,589,000 $5,685,000 $12,703,000 $9,124,000
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Per share amount $4.88 $4.13 $9.39 $6.61
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(1) Includes 78,248 shares and 54,287 shares for 1996 and 1995, respectively,
expected to be issued pursuant to the terms of the Senior Management
Incentive Plan.
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