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EXHIBIT 11
CINCINNATI FINANCIAL CORPORATION
STATEMENT RE-COMPUTATION OF PER SHARE EARNINGS
(000's omitted except per share data)
Six Months Ended Three Months Ended
JUNE 30, JUNE 30,
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2001 2000 2001 2000
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Basic earnings per share:
Net income ..................................... $121,581 $154,057 $ 48,967 $ 74,694
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Average shares outstanding ..................... 161,909 161,527 161,139 161,623
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Net income per common share .................... $ .75 $ .95 $ .30 $ .46
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Diluted earnings per share:
Net income ..................................... $121,581 $154,057 $ 48,967 $ 74,694
Interest on convertible debentures--net of tax . 429 665 165 337
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Net income for per share calculation (diluted) . $122,010 $154,722 $ 49,132 $ 75,031
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Average shares outstanding ..................... 161,909 161,527 161,139 161,623
Effective of dilutive securities:
5.5% convertible senior debentures ............ 910 2,112 910 2,112
Stock options ................................. 1,576 1,256 1,761 1,814
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Total dilutive shares .......................... 164,395 164,895 163,810 165,549
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Net income per common share--(diluted) ......... $ .74 $ .94 $ .30 $ .45
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ANTI-DILUTIVE SECURITIES
Options to purchase 953 shares of the Company's common stock with exercise
prices ranging from $38.39 to $45.37 per share were outstanding at June 30,
2001, and 1,026 shares with exercise prices ranging from $35.19 to $45.37 per
share were outstanding at June 30, 2000. The shares were not included in the
computation of diluted earnings per share for periods either the six or
three-month ended June 30, 2001 and 2000, since inclusion of these options would
have anti-dilutive effects, as the options-exercise prices exceeded the
respective average market prices of the Company's shares.