EX-11 5 dex11.htm STATEMENT RE COMPUTATION OF PER SHARE EARNINGS Statement re computation of per share earnings

 

Exhibit 11. Statement re computation of per share earnings

 

TORCHMARK CORPORATION  COMPUTATION OF EARNINGS PER SHARE

 

    

Twelve months ended December 31,

 
    

2002

     

2001

     

2000

  

Income from continuing operations before extraordinary item and cumulative effect of change in accounting principle

   

$

383,435,000

 

   

$

390,930,000

 

   

$

361,833,000

 

Loss from discontinued operations (net of applicable tax benefit)

   

 

-0-

 

   

 

(3,280,000

)

   

 

-0-

 

    
  
  

Income before extraordinary item and change in accounting principle

   

 

383,435,000

 

   

 

387,650,000

 

   

 

361,833,000

 

Gain (loss) on redemption of debt (net of applicable tax)

   

 

(2,000

)

   

 

(277,000

)

   

 

202,000

 

Loss on redemption of monthly income preferred securities
(net of tax)

   

 

-0-

 

   

 

(4,276,000

)

   

 

-0-

 

    
  
  

Income before cumulative effect of change in accounting
principle

   

 

383,433,000

 

   

 

383,097,000

 

   

 

362,035,000

 

Cumulative effect of change in accounting principle (net of applicable tax)

   

 

-0-

 

   

 

(26,584,000

)

   

 

-0-

 

    
  
  

Net Income

   

$

383,433,000

 

   

$

356,513,000

 

   

$

362,035,000

 

    
  
  

Basic weighted average shares outstanding

   

 

120,258,685

 

   

 

125,134,535

 

   

 

128,089,235

 

Diluted weighted average shares outstanding

   

 

120,669,115

 

   

 

125,860,937

 

   

 

128,353,404

 

Basic earnings per share:

                           

Income from continuing operations before extraordinary item and cumulative effect of change in accounting principle

   

$

3.19

 

   

$

3.12

 

   

$

2.83

 

Loss from discontinued operations (net of applicable tax benefit)

   

 

-0-

 

   

 

(.02

)

   

 

-0-

 

    
  
  

Income before extraordinary item and change in accounting principle

   

 

3.19

 

   

 

3.10

 

   

 

2.83

 

Loss on redemption of debt (net of applicable tax benefit)

   

 

-0-

 

   

 

-0-

 

   

 

-0-

 

Loss on redemption of monthly income preferred securities

   

 

-0-

 

   

 

(.04

)

   

 

-0-

 

    
  
  

Income before cumulative effect of change in accounting
principle

   

 

3.19

 

   

 

3.06

 

   

 

2.83

 

Cumulative effect of change in accounting principle (net of applicable tax)

   

 

-0-

 

   

 

(.21

)

   

 

-0-

 

    
  
  

Net Income

   

$

3.19

 

   

$

2.85

 

   

$

2.83

 

    
  
  

Diluted earnings per share:

                           

Income from continuing operations before extraordinary item and cumulative effect of change in accounting principle

   

$

3.18

 

   

$

3.11

 

   

$

2.82

 

Loss from discontinued operations (net of applicable tax benefit)

   

 

-0-

 

   

 

(.03

)

   

 

-0-

 

    
  
  

Income before extraordinary item and change in accounting principle

   

 

3.18

 

   

 

3.08

 

   

 

2.82

 

Loss on redemption of debt (net of applicable tax benefit)

   

 

-0-

 

   

 

-0-

 

   

 

-0-

 

Loss on redemption of monthly income preferred securities

   

 

-0-

 

   

 

(.04

)

   

 

-0-

 

    
  
  

Income before cumulative effect of change in accounting
principle

   

 

3.18

 

   

 

3.04

 

   

 

2.82

 

Cumulative effect of change in accounting principle (net of applicable tax)

   

 

-0-

 

   

 

(.21

)

   

 

-0-

 

    
  
  

Net Income

   

$

3.18

 

   

$

2.83

 

   

$

2.82

 

    
  
  

 

97