Interleaf, Inc.
EXHIBIT 11-COMPUTATION OF EARNINGS PER SHARE
Three months ended
June 30
1997 1996
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In thousands, except for per share amounts (unaudited)
Primary
Weighted average shares outstanding of Common Stock 17,624 16,998
Dilutive Senior Series B and Senior
Series C Convertible Preferred Stock 5,178 -
Dilutive stock options 147 -
Dilutive stock purchase warrants - -
Dilutive stock purchase plan rights 25 -
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Total 22,974 16,998
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$ 386 $(3,800)
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Net income (loss)
Net income (loss) per share $ 0.02 $ (0.22)
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Fully Diluted
Weighted average shares outstanding of Common Stock 17,624 16,998
Dilutive Senior Series B and Senior Series C
Convertible Preferred Stock 5,178 -
Dilutive stock options 300 -
Dilutive stock purchase warrants - -
Dilutive stock purchase plan rights 32 -
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23,134 16,998
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Total
$ 386 $(3,800)
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Net income (loss)
Net income (loss) per share $ 0.02 $ (0.22)
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The dilutive effect of stock options, stock purchase warrants, and stock
purchase plan rights are calculated using the treasury stock method. Under this
method, these common stock equivalents are assumed to be exercised and proceeds
from the exercise are assumed to be used to repurchase common stock at the
average market price for primary income (loss) per share and the higher of the
end of the period or average market price for fully diluted income (loss) per
share. The dilutive effect of Convertible Preferred Stock is calculated using
the if-converted method.