EXHIBIT 11
CHAMPION INTERNATIONAL CORPORATION AND SUBSIDIARIES
Calculation of Primary Earnings (Loss) Per Common Share and
Fully Diluted Earnings (Loss) Per Common Share (unaudited)
(in thousands, except per share)
Six Months Ended Three Months Ended
------------------------ ------------------------
June 30, June 30,
------------------------ ------------------------
1996 1995 1996 1995
-------- -------- -------- --------
Primary earnings (loss) per common share:
Net Income (Loss) $ 99,201 $ 318,758 $ 15,552 $ 187,533
Dividends on Preference Shares --- 13,258 --- 6,320
---------- ---------- ---------- ----------
Net Income (Loss) Applicable to Common Stock $ 99,201 $ 305,500 $ 15,552 $ 181,213
========== ========== ========== ==========
Average number of common shares outstanding 95,508 93,536 95,511 93,686
========== ========== ========== ==========
Per share $ 1.04 $ 3.27 $ 0.16 $ 1.93
========== ========== ========== ==========
Fully diluted earnings (loss) per common share:
Net Income (Loss) Applicable to Common Stock $ 99,201 $ 305,500 $ 15,552 $ 181,213
Add income effect, assuming conversion of
dilutive convertible securities --- 15,106 --- 6,585
---------- ---------- ---------- ----------
Net income (loss) on a fully diluted basis $ 99,201 $ 320,606 $ 15,552 $ 187,798
========== ========== ========== ==========
Average number of common shares outstanding 95,508 93,536 95,511 93,686
Add common share effect, assuming conversion
of dilutive convertible securities --- 11,814 --- 11,419
---------- ---------- ---------- ----------
Average number of common shares outstanding
on a fully diluted basis 95,508 105,350 95,511 105,105
========== ========== ========== ==========
Per share $ 1.04 $ 3.04 $ 0.16 $ 1.79
========== ========== ========== ==========
NOTE:
(1) The computation of fully diluted earnings per common share assumes that
the average number of common shares outstanding during the period is
increased by the conversion of securities having a dilutive effect, and
that net income applicable to common stock is increased by dividends and
after-tax interest on such securities.
(2) Earnings per share was calculated for each three month and six month
period on a stand-alone basis. On June 22, 1995, the company purchased
all 7,894,737 shares of Common Stock that were issued on that date upon
conversion of the $92.50 Cumulative Convertible Preference Stock, and on
June 30, 1995, the company purchased an additional 2,000,000 shares of
Common Stock. As a result of this reduction in the number of shares
outstanding, the sum of the earnings per share for the first and second
quarters of 1995 does not equal the earnings per share for the first six
months of 1995.