KINDER MORGAN ENERGY PARTNERS, L.P. AND SUBSIDIARIES EXHIBIT 11 - STATEMENT RE: COMPUTATION OF PER SHARE EARNINGS (Dollars In Thousands Except Per Unit Amounts) FOR THE YEAR ENDED DECEMBER 31, 2004 2003 2002 ===================================================================================================================== Weighted-average number of limited partners' units on which limited partners' net income per unit is based: Basic 196,955,618 185,383,944 172,016,574 Add: Incremental units under common unit option plan 82,696 109,774 169,065 ------------------------------------------------------------- Assuming dilution 197,038,314 185,493,718 172,185,639 ============================================================= Income Before Cumulative Effect of a Change in $ 831,578 $ 693,872 $ 608,377 Accounting Principle Add: Cumulative effect adjustment from change in Accounting for asset retirement obligations - 3,465 - ------------------------------------------------------------- Net Income $ 831,578 $ 697,337 $ 608,377 ============================================================= Calculation of Limited Partners' interest in Net Income: Income Before Cumulative Effect of a Change in Accounting Principle $ 831,578 $ 693,872 $ 608,377 Less: General Partner's interest (395,092) (326,489) (270,816) ------------------------------------------------------------- Limited Partner's interest 436,486 367,383 337,561 Add: Limited Partner's interest in Change in Accounting Principle - 3,430 - ------------------------------------------------------------- Limited Partners' interest in Net Income $ 436,486 $ 370,813 $ 337,561 ============================================================= Earnings per limited partner unit: Limited Partners' Income Before Cumulative Effect of a Change in Accounting Principle per unit: Basic $ 2.22 $ 1.98 $ 1.96 Diluted $ 2.22 $ 1.98 $ 1.96 Limited Partners' Cumulative Effect of a Change in Accounting Principle per unit: Basic - $ .02 - Diluted - $ .02 - Limited Partners' Net Income per unit: Basic $ 2.22 $ 2.00 $ 1.96 Diluted $ 2.22 $ 2.00 $ 1.96