EXHIBIT 11
IKON OFFICE SOLUTIONS, INC.
COMPUTATIONS OF EARNINGS PER SHARE
(in thousands, except earnings (loss) per share)
1997 1996
Fully Fully
Primary Diluted(1) Primary Diluted(1)
Three Months March 31
Average Shares Outstanding
Common shares 134,797 134,797 126,709 126,709
Preferred stock
Senior Securities 848
Convertible loan notes 287 367
Options 1,461 1,461 1,742 1,941
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Total shares 136,258 136,545 128,451 129,865
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Income
Continuing Operations $14,615 $14,696 $40,486 $40,562
Discontinued Operations 28,631 28,631
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Net income 14,615 14,696 69,117 69,193
Less: Preferred dividends 4,885 4,885 4,885 4,885
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Net income available to common shareholders $9,730 $9,811 $64,232 $64,308
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Earnings Per Share
Continuing Operations $0.07 $0.07 $0.28 $0.28
Discontinued Operations 0.22 0.22
========= ========= ========= =========
Earnings Per Share $0.07 $0.07 $0.50 $0.50
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Six Months Ended March 31
Average Shares Outstanding
Common shares 133,723 133,723 122,054 122,054
Preferred stock
Senior Securities 4,793
Convertible loan notes 259 374
Options 1,503 1,565 1,784 2,054
--------- --------- --------- ---------
Total shares 135,226 135,547 123,838 129,275
========= ========= ========= =========
Income
Continuing Operations $59,274 $59,440 $77,423 $77,575
Discontinued Operations 20,151 20,151 54,860 54,860
--------- --------- --------- ---------
Income before extraordinary loss 79,425 79,591 132,283 132,435
Extraordinary loss on extinguishment of debt (12,156) (12,156)
--------- --------- --------- ---------
Net Income 67,269 67,435 132,283 132,435
Less:Preferred Dividends 9,770 9,770 12,549 9,770
--------- --------- --------- ---------
Net income available to common shareholders $57,499 $57,665 $119,734 $122,665
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Earnings Per Share
Continuing Operations $0.37 $0.37 $0.53 $0.53
Discontinued Operations 0.15 0.15 0.44 $0.42
Extraordinary Loss (0.09) (0.09)
========= ========= ========= =========
Earnings Per Share $0.43 $0.43 $0.97 $0.95
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(1) This calculation is submitted in accordance with Regulation S-K item 601
(b) (11) although not required by footnote 2 to paragraph 14 of APB
Opinion No. 15 because it results in dilution of less than 3%.