Exhibit 11 ENRON CORP. AND SUBSIDIARIES CALCULATION OF EARNINGS (LOSS) PER SHARE (Unaudited) Three Months Ended Six Months Ended June 30, June 30, 1997 1996 1997 1996 (in millions, except per share amounts) Primary Earnings (Loss) Per Share Earnings (loss) on common stock Net income (loss) $ (420) $ 117 $ (198) $ 329 Preferred stock dividends (4) (4) (8) (8) $ (424) $ 113 $ (206) $ 321 Average number of common shares outstanding 248 246 248 245 Primary earnings (loss) per share of common stock $(1.71) $0.46 $(0.83) $1.31 Fully Diluted Earnings (Loss) Per Share Adjusted earnings (loss) on common stock Net income (loss) $ (420) $ 117 $ (198) $ 329 Preferred stock dividends (4) (4) (8) (8) Add back: Dividends on convertible preferred stock 4 4 8 8 $ (420) $ 117 $ (198) $ 329 Average number of common shares outstanding on a fully diluted basis Average number of common shares outstanding 248 246 248 245 Additional shares issuable upon: Conversion of preferred stock 19 19 19 19 Exercise of stock options reduced by the number of shares which could have been purchased with the proceeds from exercise of such options 5 6 5 6 272 271 272 270 Fully diluted earnings (loss) per share of common stock $(1.54)(a) $0.43 $(0.73)(a) $1.22 <FN> (a) This calculation is submitted in accordance with Regulation S-K item 601(b)(ii) although it is contrary to paragraph 40 of APB Opinion No. 15 because it produces an anti-dilutive result.