1 EXHIBIT 11 MEDAPHIS CORPORATION COMPUTATION OF BASIC AND DILUTED EARNINGS PER SHARE Three and Nine Months Ended September 30, 1998 and 1997 (in thousands, except per share data) Three Months Ended Nine Months Ended September 30, September 30, Description 1998 1997 1998 1997 - - ------------------------------------------------------ ------ ------ ------ ------ Weighted average shares outstanding during the period 78,655 72,942 76,442 72,542 Shares issuable upon assumed exercise of stock options, less amounts assumed repurchased under the treasury stock method -- -- -- -- --------- -------- --------- -------- Total weighted average common stock and common stock equivalents outstanding during the period 78,655 72,942 76,442 72,542 ========= ======== ========= ======== Net loss from continuing operations (517,361) $(81,686) $(554,657) $(89,839) Discontinued operation, net of tax 1,356 477 3,687 4,306 Extraordinary items, net of tax -- -- (5,557) 76,391 --------- -------- --------- -------- Net loss $(516,005) $(81,209) $(556,527) $ (9,142) ========= ======== ========= ======== Net loss per common share: Net loss from continuing operations $ (6.58) $ (1.12) $ (7.26) $ (1.24) Discontinued operation, net of tax 0.02 0.01 0.05 0.06 Extraordinary items, net of tax -- -- (0.07) 1.05 --------- -------- --------- -------- Net loss $ (6.56) $ (1.11) $ (7.28) $ (0.13) ========= ======== ========= ========