Exhibit 11 HMN Financial, Inc. Computation of Earnings Per Common Share Year Ended December 31, ----------------------------------------- 1997 1996 1995 ----------------------------------------- Computation of Earnings Per Common Share: Weighted average number of common shares out- standing used in basic earnings per common share calculation . . . . . . . . . . . . . . 3,683,458 4,315,410 5,109,989 Net dilutive effect of: Options . . . . . . . . . . . . . . . . . . . 209,388 54,838 19,062 Restricted stock awards . . . . . . . . . . . 50,767 67,003 42,887 ---------- --------- ---------- Weighted average number of shares outstanding adjusted for effect of dilutive securities. . 3,943,613 4,437,251 5,171,938 ---------- --------- ---------- ---------- --------- ---------- Income available to common shareholders. . . . $5,578,866 4,274,349 5,620,377 Basic earnings per common share . . . . . . . $1.51 0.99 1.10 Diluted earnings per common share . . . . . . $1.41 0.96 1.09