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EXHIBIT 11
VIDEOSERVER, INC.
COMPUTATION OF NET INCOME PER SHARE (1)
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30, JUNE 30,
1995 1996 1995 1996
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Weighted average common and common
equivalent shares:
Weighted average common shares
outstanding during the period 10,893,848 12,468,884 10,256,089 12,442,297
Weighted average common equivalent
shares resulting from stock options 778,175 869,430 636,907 773,626
Dilutive effect of common and common
equivalent shares issued subsequent
to April 12, 1994 (2) 86,886 232,586
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11,758,909 13,338,314 11,125,582 13,215,923
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Net income $ 985,000 $2,243,000 $1,579,000 $4,148,000
Primary net income per share $ 0.08 $ 0.17 $ 0.14 $ 0.31
========== ========== ========== ==========
<FN>
(1) Fully diluted net income per share has not been separately presented, as the amounts would not be
materially different from primary net income per share.
(2) Pursuant to Securities and Exchange Commission Staff Accounting Bulletin No. 83, certain common and
common equivalent shares issued by the Company during the twelve months immediately preceding the
initial filing of the registration statement relating to the Company's initial public offering have
been included in the calculation of weighted average shares, using the treasury stock method and the
initial public offering price, as if these shares were outstanding for all periods prior to the initial
public offering.
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