Exhibit 11
Fully Diluted Earnings Per Common Share and Fully Diluted Average Common Shares
Outstanding
For fully diluted earnings per common share, net income available to
common shareholders can be affected by the conversion of the registrant's
convertible preferred stock. Where the effect of this conversion would have
been dilutive, net income available to common shareholders is adjusted by the
associated preferred dividends. This adjusted net income is divided by the
weighted average number of common shares outstanding for each period plus
amounts representing the dilutive effect of stock options outstanding and the
dilution resulting from the conversion of the registrant's convertible
preferred stock, if applicable. The effect of convertible preferred stock is
excluded from the computation of fully diluted earnings per common share in
periods in which the effect would be antidilutive.
Fully diluted earnings per common share was determined as follows
(shares in thousands, dollars in millions except per-share information):
Three Months Ended Six Months Ended
June 30 June 30
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1995 1994 1995 1994
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Average common shares outstanding.............. 271,717 275,020 274,053 273,492
Dilutive effect of
Convertible preferred stock.................. 2,345 2,371 2,345 2,371
Stock options................................ 1,369 1,736 1,390 1,634
----------- ----------- ----------- -----------
Total fully dilutive shares.................... 275,431 279,127 277,788 277,497
=========== =========== =========== ===========
Net income available to common shareholders.... $ 465 $ 435 $ 906 $ 849
Preferred dividends paid on dilutive
convertible preferred stock.................. 2 2 4 4
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Net income available to common
shareholders adjusted for full dilution...... $ 467 $ 437 $ 910 $ 853
=========== =========== =========== ===========
Fully diluted earnings per common share........ $ 1.70 $ 1.57 $ 3.28 $ 3.07
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