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EXHIBIT 11
ROWAN COMPANIES, INC. AND SUBSIDIARIES
COMPUTATION OF PRIMARY AND FULLY
DILUTED EARNINGS (LOSS) PER SHARE
(in thousands except per share amounts)
For the Year Ended December 31
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1996 1995 1994
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Weighted average shares of common stock
outstanding 85,335 84,589 84,092
Stock options (treasury stock method) 2,107 630 (A) 444 (A)
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Weighted average shares for primary
earnings (loss) per share calculation 87,442 85,219 84,536
Stock options (treasury stock method) 450 790 (A)
Shares issuable from assumed conversion
of floating rate subordinated
convertible debentures 400 400 (A) 400 (A)
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Weighted average shares for fully diluted
earnings (loss) per share calculation 88,292 86,409 84,936
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Net income (loss) for primary calculation $61,338 ($18,436) ($22,989)
Subordinated debenture interest 323 374 301
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Net income (loss) for fully diluted
calculation $61,661 ($18,062) ($22,688)
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Primary earnings (loss) per share $0.70 ($0.22) ($0.27)
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Fully diluted earnings (loss) per share $0.70 ($0.21) (B) ($0.27)
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Note: Reference is made to Note 1 to Consolidated Financial
Statements regarding computation of per share amounts.
(A) Included in accordance with Regulation S-K Item 601(b)(11)
although not required to be provided or by Accounting
Principles Board Opinion No. 15 because the effect is
insignificant.
(B) This calculation is submitted in accordance with regulation
S-K Item 601(b)(11) although it is contrary to paragraph 40
of APB Opinion No. 15 because it produces an antidilutive
result.