EXHIBIT 11 CTI Industries Corporation and Subsidiaries Consolidated Earnings per Share (Unaudited) Quarter Ended June 30 Year to Date June 30 2003 2002 2003 2002 ---------------------------------------------------- Basic Average shares outstanding: Weighted average number of shares of common stock outstanding during the period 1,918,420 1,263,763 1,918,098 1,198,597 ==================================================== Net income: Net income (loss) $ 133,178 $ 133,527 $ (556,611) $ 503,958 Amount for per share computation $ 133,178 $ 133,527 $ (556,611) $ 503,958 ==================================================== Per share amount $ 0.07 $ 0.11 $ (0.29) $ 0.42 ==================================================== Diluted Average shares outstanding: Weighted average number of shares of common stock outstanding during the period 1,918,420 1,263,763 1,918,098 1,198,597 Net additional shares assuming stock options and warrants exercised and proceeds used to purchase treasury stock(1) 221,334 215,881 -- 134,013 ---------------------------------------------------- Weighted average number of shares and equivalent shares of common stock outstanding during the period 2,139,754 1,479,644 1,918,098 1,332,610 ==================================================== Net income: Net income (loss) $ 133,178 $ 133,527 $ (556,611) $ 503,958 Amount for per share computation $ 133,178 $ 133,527 $ (556,611) $ 503,958 ==================================================== Per share amount $ 0.06 $ 0.09 $ (0.29) $ 0.38 (1) For the six month period ended June 30, 2003, potential additional shares, in the amount of 280,043 shares were excluded from the calculation of diluted earnings per share because it would have been antidilutive.