EX-11 3 a10-12603_1ex11.htm EX-11

EXHIBIT 11               

 

COMPUTATION OF BASIC AND DILUTED

EARNINGS PER SHARE

(UNAUDITED)

 

 

For the Three Months Ended

 

 

 

June 30, 2010

 

June 30, 2009

 

Number of shares on which basic earnings per share is calculated:

 

 

 

 

 

Weighted-average shares outstanding during period

 

1,278,624,623

 

1,326,079,745

 

Add – Incremental shares under stock compensation plans

 

15,824,609

 

9,162,652

 

Add – Incremental shares associated with contingently issuable shares

 

2,233,171

 

1,703,389

 

Number of shares on which diluted earnings per share is calculated

 

1,296,682,403

 

1,336,945,786

 

 

 

 

 

 

 

 

 

Net income on which basic earnings per share is calculated  (millions)

 

$

3,386

 

$

3,103

 

 

 

 

 

 

 

Less – net income applicable to contingently issuable shares (millions)

 

0

 

—

 

 

 

 

 

 

 

Net income on which diluted earnings per share is calculated (millions)

 

$

3,386

 

$

3,103

 

 

 

 

 

 

 

 

 

Earnings per share of common stock:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assuming dilution

 

$

2.61

 

$

2.32

 

 

 

 

 

 

 

 

 

Basic

 

$

2.65

 

$

2.34

 

 

Stock options to purchase 50,828 shares and 53,456,305 shares were outstanding as of June 30, 2010 and 2009, respectively, but were not included in the computation of diluted earnings per share because the options’ exercise price during the respective periods was greater than the average market price of the common shares and, therefore, the effect would have been antidilutive.

 

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COMPUTATION OF BASIC AND DILUTED

EARNINGS PER SHARE

(UNAUDITED)

 

 

 

For the Six Months Ended

 

 

 

June 30, 2010

 

June 30, 2009

 

Number of shares on which basic earnings per share is calculated:

 

 

 

 

 

Weighted-average shares outstanding during period

 

1,289,903,908

 

1,335,184,694

 

Add – Incremental shares under stock compensation plans

 

17,239,533

 

6,615,201

 

Add – Incremental shares associated with contingently issuable shares

 

2,013,901

 

1,429,420

 

Number of shares on which diluted earnings per share is calculated

 

1,309,157,342

 

 1,343,229,315

 

 

 

 

 

 

 

 

 

Net income on which basic earnings per share is calculated  (millions)

 

$

5,987

 

$

5,398

 

 

 

 

 

 

 

Less – net income applicable to contingently issuable shares (millions)

 

0

 

—

 

 

 

 

 

 

 

Net income on which diluted earnings per share is calculated (millions)

 

$

5,987

 

$

5,398

 

 

 

 

 

 

 

 

 

Earnings per share of common stock:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assuming dilution

 

$

4.57

 

$

4.02

 

 

 

 

 

 

 

 

 

Basic

 

$

4.64

 

$

4.04

 

 

Stock options to purchase 62,413 shares and 72,905,153 shares (average of first and second quarter share amounts) were outstanding as of June 30, 2010 and 2009, respectively, but were not included in the computation of diluted earnings per share because the options’ exercise price during the respective periods was greater than the average market price of the common shares and, therefore, the effect would have been antidilutive.

 

75