EXHIBIT 11.1
PAYLESS SHOESOURCE, INC. AND SUBSIDIARIES
COMPUTATION OF NET EARNINGS PER SHARE
(UNAUDITED)
(Dollars and shares in thousands, except per share)
<Table>
<Caption>
13 WEEKS ENDED 26 WEEKS ENDED
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AUGUST 3, 2002 AUGUST 4, 2001 AUGUST 3, 2002 AUGUST 4, 2001
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Basic Computation:
Net earnings $47,189 $36,400 $71,122 $66,050
Weighted average common shares outstanding 22,620 22,250 22,517 22,201
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Basic earnings per share $ 2.09 $ 1.64 $ 3.16 $ 2.98
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Diluted Computation:
Net earnings $47,189 $36,400 $71,122 $66,050
Weighted average common shares outstanding 22,620 22,250 22,517 22,201
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Net effect of dilutive stock options based on
the treasury stock method 184 542 257 589
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Outstanding shares for diluted earnings per share 22,804 22,793 22,773 22,790
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Diluted earnings per share $ 2.07 $ 1.60 $ 3.12 $ 2.90
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</Table>
Note: Basic earnings per share are computed by dividing net earnings by the
weighted average number of shares of common stock outstanding during the period.
Diluted earnings per share include the effect of conversions of options.