EXHIBIT 11
HEALTHSOUTH CORPORATION AND SUBSIDIARIES
COMPUTATION OF INCOME PER SHARE (UNAUDITED)
(IN THOUSANDS, EXCEPT FOR PER SHARE DATA)
THREE MONTHS ENDED
MARCH 31,
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2001 2000
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Numerator:
Net income $ 75,311 $ 65,326
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Numerator for basic earnings per share -- income available to
common stockholders 75,311 65,326
Effect of dilutive securities:
Elimination of interest and amortization on 3.25% Convertible
Subordinated Debentures due 2003, less the related
effect of the provision of income taxes --(1) --(1)
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Numerator for diluted earnings per share -- income available to
common stockholders after assumed conversion $ 75,311 $ 65,326
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Denominator:
Denominator for basic earnings per share -- weighted-average
shares 388,143 385,644
Effect of dilutive securities:
Net effect of dilutive stock options 9,563 2,625
Restricted shares issued 750 750
Assumed conversion of 3.25% Convertible Subordinated
Debentures due 2003 --(1) --(1)
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Dilutive potential common shares 10,313 3,375
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Denominator of diluted earnings per share -- adjusted
weighted-average shares and assumed conversions 398,456 389,019
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Basic earnings per share $ 0.19 $ 0.17
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Diluted earnings per share $ 0.19 $ 0.17
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<FN>
(1) The effect of these securities was antidilutive for the three months ended March 31, 2001 and March 31, 2000.
</FN>