EXHIBIT 11
Horace Mann Educators Corporation
Computation of Net Income per Share
For the Three and Six Months Ended June 30, 1999 and 1998
(Amounts in thousands, except per share data)
Three Months Ended Six Months Ended
June 30, June 30,
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1999 1998 1999 1998
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Basic - assumes no dilution:
Net income for the period $10,422 $15,648 $27,473 $38,107
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Weighted average number of common
shares outstanding during the period 41,131 43,597 41,467 43,885
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Net income per share - basic $ 0.25 $ 0.36 $ 0.66 $ 0.87
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Diluted - assumes full dilution:
Net income for the period $10,422 $15,648 $27,473 $38,107
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Weighted average number of common
shares outstanding during the period 41,131 43,597 41,467 43,885
Weighted average number of common
equivalent shares to reflect the dilutive
effect of common stock equivalent securities:
Warrants 96 99 96 99
Stock options 365 483 362 484
Common stock units related to Deferred
Equity Compensation Plan for Directors 65 44 65 44
Common stock units related to Deferred
Compensation Plan for Employees 6 2 6 1
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Total common and common equivalent shares
adjusted to calculate diluted earnings per share 41,663 44,225 41,996 44,513
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Net income per share - diluted $ 0.25 $ 0.36 $ 0.65 $ 0.86
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Percentage of dilution compared
to basic net income per share 0.0% 0.0% 1.5% 1.1%