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ELECTRONIC DESIGNS, INC.
EXHIBIT 11 Statement re: computation of per share earnings
NET INCOME (LOSS) PER SHARE
THREE MONTHS ENDED
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DECEMBER 29, DECEMBER 30,
1996 1995
Net income (loss) $1,271,000 $ (921,000)
Adjustments thereto(1) 164,000 -
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Adjusted net income (loss) $1,435,000 $ (921,000)
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Weighted average shares
outstanding 6,612,000 4,819,000
Adjustments thereto(2) 3,202,000 -
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Shares used in computation 9,814,000 4,819,000
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Net income (loss) per share(3) $ 0.15 $ (0.19)
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<FN>
(1)In accordance with the modified treasury stock method, the proceeds from
the exercise of stock options and warrants are first used to buy back
up to 20% of the Company's common stock at the average price for the
period. Any remaining proceeds are used to retire outstanding debt,
which adjusts income for interest assumed to be saved (net of income
tax effect), and, to the extent there are proceeds remaining after the
assumed debt retirement, used to invest in commercial paper, which
further adjusts income for interest assumed to be earned (net of income
tax effect).
(2)Adjusts the weighted average number of shares outstanding for (i) all
stock options and warrants using the modified treasury stock method, if
dilutive; and (ii) the conversion of preferred stock using the
if-converted method, if dilutive.
(3)Primary and fully-diluted earnings per share are the same.
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