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EXHIBIT 11
PONDER INDUSTRIES, INC., AND SUBSIDIARIES
COMPUTATION OF EARNINGS (LOSS) PER SHARE
(In Thousands, Except Share Information)
Three Months Ended Six Months Ended
February 28 February 28
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1999 1998 1999 1998
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COMPUTATION OF BASIC LOSS PER SHARE:
Net loss $ (1,568) $ (961) $ (2,528) $ (1,385)
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WEIGHTED AVERAGE NUMBER OF SHARES OF
COMMON STOCK OUTSTANDING 9,324,395 6,509,883 9,298,604 6,116,923
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BASIC LOSS PER COMMON SHARE $ (.17) $ (.15) $ (.27) $ (.23)
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COMPUTATION OF DILUTED LOSS PER SHARE:
Net loss $ (1,568) $ (961) $ (2,528) $ (1,385)
Interest and debt issue cost amortization expense not
incurred upon assumed conversion of Senior Notes
(1998) -- 32 -- 48
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Net loss applicable to common stockholders used for
computation $ (1,568) $ (929) $ (2,528) $ (1,337)
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Weighted average number of shares of common stock
outstanding 9,324,395 6,509,883 9,298,604 6,116,923
Weighted average incremental shares outstanding upon assumed
conversion of options and warrants -- 778,751 -- 573,712
Weighted average incremental shares outstanding upon assumed
conversion of Senior Notes (1998) -- 417,778 -- 340,332
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WEIGHTED AVERAGE COMMON SHARES AND
COMMON SHARE EQUIVALENTS USED FOR
COMPUTATION 9,324,395 7,706,412 9,298,604 7,030,967
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DILUTED LOSS PER COMMON SHARE AND
COMMON SHARE EQUIVALENT $ (.17) $ (.12)(a) $(.27) $ (.19)(a)
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(a) This calculation is submitted in accordance with Item 601(b)(11) of
Regulation S-K although it is not required by SFAS No. 128 because it is
antidilutive.