EXHIBIT 11
OLIN CORPORATION AND CONSOLIDATED SUBSIDIARIES
COMPUTATION OF PER SHARE EARNINGS
Primary earnings per share are computed by dividing net income less the ESOP
preferred stock dividend requirement by the weighted average number of common
shares outstanding plus an equivalent number (one-for-one) of common shares
assuming the conversion of Series A stock (PERCS). Fully diluted earnings per
share reflect the dilutive effect of stock options and assume the conversion of
outstanding ESOP preferred stock into an equivalent number of common shares at
the date of issuance. Net income was reduced by an additional ESOP contribution
(differential between the common and ESOP preferred dividend rates under an
assumed conversion) necessary to satisfy the debt service requirement.
(In thousands) Years Ended December 31,
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1994 1993 1992
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Weighted average number of common shares outstanding and
common stock equivalents 23,303 21,840 21,598
Common shares issuable assuming the conversion of outstanding
ESOP preferred stock at the date of issuance 1,440 1,623 1,597
Common shares issuable under outstanding stock options and
additional remuneration agreements which have a dilutive
effect on per share earnings 82 24 40
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Adjusted number of common shares outstanding 24,825 23,487 23,235
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(In millions)
Net income (loss) $91 $(92) $9
Less ESOP preferred dividend (7) (7) (8)
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Net income (loss) adjusted for primary earnings (loss) per share $84 $(99) $1
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Primary earnings (loss) per share (1) $3.65 $(4.52) $0.06
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Net income (loss) $91 $(92) $9
Less additional ESOP contribution (3) (2) (3)
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Net income (loss) adjusted for fully diluted earnings (loss)
per share $88 $(94) $6
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Fully diluted earnings (loss) per share (1)(2) $3.54 $(4.01) $0.26
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Notes:
(1) Under the common stock equivalent method, primary loss per share would have
been $5.70 and $.39 for 1993 and 1992. PERCS dividends in 1993 and 1992 were
$10 million and $9 million, respectively, while average PERCS shares
outstanding in 1993 and 1992 were 2.76 million and 2.55 million,
respectively.
(2) Fully diluted income or loss per share in 1993 and 1992 was anti-dilutive
and therefore, was not reported on the Income Statement.