BABY SUPERSTORE INC. COMPUTATION OF NET INCOME (LOSS) PER COMMON SHARE Thirteen Weeks Ended Twenty-six Weeks Ended July 31, July 26, July 31, July 26, 1996 1995 1996 1995 ------------ ----------- ----------- ---------- Net Income (Loss) $(11,688,000) $ 3,009,000 $ (8,407,000) $ 6,205,000 ============= ============= ============= ============== Weighted average shares outstanding during the period: Common Stock 19,234,702 19,174,407 19,230,462 18,907,977 Net effect of dilutive stock options and warrants - based on the treasury stock meathod using the average market price --- 541,816 --- 541,261 --------------------- --------------- ------------------- -------------- Weighted average common and common equivalents shares outstanding 19,234,702 19,716,223 19,230,462 19,449,238 ============== ============= ============ ============ PRIMARY NET INCOME (LOSS) PER COMMON SHARE $ (0.61) $ (0.15) $ (0.44) $ 0.32 ================== ============== ================ ================ Weighted average shares outstanding during the period: Common Stock 19,234,702 19,174,407 19,230,462 18,907,977 Net effect of dilutive stock options and warrants - based on the treasury stock method using the greater of ending or average market price --- 552,751 --- 557,738 --------------------- --------------- -------------------- --------------- Weighted average common and common equivalent shares outstanding 19,234,702 19,727,158 19,230,462 19,465,715 ============== ============ ============= ============ FULLY DILUTED NET INCOME (LOSS) PER COMMON SHARE $ (0.61) $ 0.15 $ (0.44) $ 0.32 ================= ================ ================ ================ 16