1 EXHIBIT 11.1 COMPUWARE CORPORATION AND SUBSIDIARIES COMPUTATION OF EARNINGS PER COMMON SHARE AND CAPITAL STRUCTURE INFORMATION (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) Earnings per common share ("EPS") data were computed as follows (in thousands, except for per share data): Year Ended March 31, ------------------------------------------- 1999 1998 1997 ------------- ------------- ------------- BASIC EPS: Numerator: Net Income $ 349,863 $ 193,944 $ 97,436 ------------- ------------- ------------- Denominator: Weighted-average common shares outstanding 366,734 352,274 340,770 ------------- ------------- ------------- Basic EPS $ 0.95 $ 0.55 $ 0.29 ============= ============= ============= DILUTED EPS: Numerator: Net Income $ 349,863 $ 193,944 $ 97,436 ------------- ------------- ------------- Denominator: Weighted-average common shares outstanding 366,734 352,274 340,770 Dilutive effect of stock options (1) 35,302 35,152 18,970 ------------- ------------- ------------- Total Shares 402,036 387,426 359,740 ------------- ------------- ------------- Diluted EPS $ 0.87 $ 0.50 $ 0.27 ============= ============= ============= (1) The dilutive effect of stock options is determined using the treasury stock method based upon the average price per share of $27.46, $15.61 and $5.91 for fiscal 1999, 1998 and 1997, respectively.