1 EXHIBIT 11 THE J. H. HEAFNER COMPANY, INC. COMPUTATION OF EARNINGS PER SHARE THREE MONTHS ENDED NINE MONTHS ENDED ------------------------------ ------------------------------ SEPTEMBER 30, SEPTEMBER 30, SEPTEMBER 30, SEPTEMBER 30, 1998 1997 1998 1997 ------------- ------------- ------------- ------------- (UNAUDITED) (UNAUDITED) Average shares outstanding during the period.............................. 5,086,670 3,691,003 4,357,065 5,084,769 Incremental shares under stock options and warrants computed under the treasury stock method using the average market price of issuer's stock during the period............. 1,244,830 1,024,600 1,232,609 569,222 ---------- ---------- ----------- ---------- Total shares for diluted EPS....................... 6,331,500 4,715,603 5,589,674 5,653,991 ========== ========== =========== ========== Income applicable to common shareholders: Loss from operations before extraordinary charge................ (866,000) Less: Preferred stock dividends....... (209,000) ----------- $(1,075,000) =========== Net income (loss)..................... 410,000 588,000 (3,064,000) 522,000 Less: Preferred stock dividends....... (69,000) (69,000) (209,000) (110,222) ---------- ---------- ----------- ---------- $ 341,000 $ 519,000 $(3,273,000) $ 411,778 ========== ========== =========== ========== (Loss) income per basic common share: Loss from operations before extraordinary charge................ $ -- $ -- $ (0.25) $ -- ========== ========== =========== ========== Net income (loss)..................... $ 0.07 $ 0.14 $ (0.75) $ 0.08 ========== ========== =========== ========== Income (loss) per diluted share: Loss from operations before extraordinary charge................ $ -- $ -- $ (0.19) $ -- ========== ========== =========== ========== Net income (loss)..................... $ 0.05 $ 0.11 $ (0.59) $ 0.07 ========== ========== =========== ==========