1 EXHIBIT 11 COMPUTATION OF EARNINGS PER SHARE CHAPARRAL STEEL COMPANY AND SUBSIDIARIES Three months ended August 31, 1995 1994 ---- ---- (In thousands except per share) AVERAGE SHARES OUTSTANDING Primary: Average shares outstanding 29,680 29,680 Stock options - treasury stock method using average market prices 123 32 -------- --------- TOTALS 29,803 29,712 ======== ========= Fully diluted: Average shares outstanding 29,680 29,680 Stock options - treasury stock method using end of quarter market price if higher than average 158 32 -------- --------- TOTALS 29,838 29,712 ======== ========= INCOME APPLICABLE TO COMMON STOCK Primary and fully diluted: Net income $ 6,428 $ 1,753 Add: Pre-September 1990 contingent price amortization 58 58 -------- --------- $ 6,486 $ 1,811 ======== ========= PER SHARE Net income per common share: Primary $ .22 $ .06 -------- --------- Fully diluted $ .22 $ .06 ======== ========= 12