EX-11 2 q103ex11.htm KIMBALL INTERNATIONAL, INC. EXHIBIT 11 Exhibit 11

Exhibit 11

KIMBALL INTERNATIONAL, INC. AND SUBSIDIARIES
COMPUTATION OF EARNINGS PER SHARE

(Unaudited) Three Months Ended
March 31, 2010		   Three Months Ended
March 31, 2009		  
(Amounts in Thousands, Except for Per Share Data) Class A   Class B   Total   Class A   Class B   Total  
Basic Earnings Per Share:                  
    Dividends Declared  $     502     $  1,358     $  1,860     $        492     $  1,333     $  1,825   
    Less: Unvested Participating Dividends  -0-     -0-     -0-     (4)    -0-     (4)  
    Dividends to Common Share Owners  502     1,358     1,860     488     1,333     1,821   
    Undistributed Earnings          4,470             2,289   
    Less: Earnings Allocated to Participating Securities          -0-             (6)  
    Undistributed Earnings allocated to Common Share Owners
  1,278     3,192     4,470     663     1,620     2,283   
    Net Income Available to Common Share Owners  $  1,780     $  4,550     $  6,330     $     1,151     $  2,953     $  4,104   
 
    Average Basic Common Shares Outstanding		  10,745     26,828     37,573     10,822     26,464     37,286   
 
    Basic Earnings Per Share		  $   0.17     $   0.17         $       0.11     $   0.11       
Diluted Earnings Per Share:                  
    Dividends Declared and Assumed Dividends on Dilutive Shares  $     505     $  1,358     $  1,863     $        492     $  1,333     $  1,825   
    Less: Unvested Participating Dividends  -0-     -0-     -0-     (4)    -0-     (4)  
    Dividends and Assumed Dividends to Common Share Owners  505     1,358     1,863     488     1,333     1,821   
    Undistributed Earnings          4,467             2,289   
    Less: Earnings Allocated to Participating Securities          -0-             (6)  
    Undistributed Earnings allocated to Common Share Owners
  1,282     3,185     4,467     665     1,618     2,283   
    Net Income Available to Common Share Owners  $  1,787     $  4,543     $  6,330     $     1,153     $  2,951     $  4,104   
 
    Average Diluted Common Shares Outstanding		  10,802     26,831     37,633     10,884     26,490     37,374   
 
    Diluted Earnings Per Share		  $   0.17     $   0.17         $       0.11     $   0.11       
Reconciliation of Basic and Diluted EPS Calculations:                        
    Net Income Used for Basic EPS Calculation  $  1,780     $  4,550     $  6,330     $     1,151     $  2,953     $  4,104   
    Assumed Dividends Payable on Dilutive Shares:                      
        Performance shares  3     -0-     3     -0-     -0-     -0-   
    Increase (Reduction) of Undistributed Earnings - allocated based                        
      on Class A and Class B shares  4     (7)    (3)    2     (2)    -0-   
    Net Income Used for Diluted EPS Calculation  $  1,787     $  4,543     $  6,330     $     1,153     $  2,951     $  4,104   
 
    Average Shares Outstanding for Basic
      EPS Calculation		  10,745     26,828     37,573     10,822     26,464     37,286   
    Dilutive Effect of Average Outstanding:                        
        Performance shares  57     3     60     -0-     -0-     -0-   
        Restricted share units  -0-     -0-     -0-     62     26     88   
    Average Shares Outstanding for Diluted
      EPS Calculation		  10,802     26,831     37,633     10,884     26,490     37,374   
Included in dividends declared for the basic and diluted earnings per share computation for the three months ended March 31, 2009 are dividends computed and accrued on unvested Class A and Class B restricted share units, which were paid by a conversion to the equivalent value of common shares after a vesting period.  Restricted share units held by retirement-age participants at March 31, 2009 had a nonforfeitable right to dividends and are deducted from the above dividends and undistributed earnings figures allocable to common Share Owners. Previously reported earnings per share calculations for the three months ended March 31, 2009 have been recast as a result of FASB guidance on determining whether instruments granted in share-based payment transactions are participating securities. See Note 1 - Summary of Significant Accounting Policies of Notes to Condensed Consolidated Financial Statements for further discussion. There were no restricted share units outstanding as of March 31, 2010.  
All of the 680,000 and 748,000 average outstanding stock options were antidilutive and were excluded from the dilutive calculations for the quarters ended March 31, 2010 and 2009, respectively. In addition, 45,000 performance shares were antidilutive and were excluded from the dilutive calculation for the quarter ended March 31, 2009.  


(Unaudited) Nine Months Ended
March 31, 2010		   Nine Months Ended
March 31, 2009
(Amounts in Thousands, Except for Per Share Data) Class A   Class B   Total   Class A   Class B   Total
Basic Earnings Per Share:                
    Dividends Declared  $  1,481     $  4,022     $  5,503     $  4,119     $  9,613     $ 13,732 
    Less: Unvested Participating Dividends  (9)    -0-     (9)    (56)    -0-     (56)
    Dividends to Common Share Owners  1,472     4,022     5,494     4,063     9,613     13,676 
    Undistributed Earnings           4,507             748 
    Less: Earnings Allocated to Participating Securities          (8)            (3)
    Undistributed Earnings allocated to Common                      
      Share Owners  1,287     3,212     4,499     224     521     745 
    Net Income Available to Common Share Owners  $  2,759     $  7,234     $  9,993     $  4,287     $10,134     $ 14,421 
 
    Average Basic Common Shares Outstanding		  10,702     26,706     37,408     11,139     25,980     37,119 
 
    Basic Earnings Per Share		  $   0.26     $   0.27         $   0.38     $   0.39     
Diluted Earnings Per Share:                
    Dividends Declared and Assumed Dividends on Dilutive Shares  $  1,493     $  4,023     $  5,516     $  4,127     $  9,613     $ 13,740 
    Less: Unvested Participating Dividends  (9)    -0-     (9)    (56)    -0-     (56)
    Dividends and Assumed Dividends to Common Share Owners  1,484     4,023     5,507     4,071     9,613     13,684 
    Undistributed Earnings           4,494             740 
    Less: Earnings Allocated to Participating Securities          (8)            (3)
    Undistributed Earnings allocated to Common                      
      Share Owners  1,291     3,195     4,486     222     515     737 
    Net Income Available to Common Share Owners  $  2,775     $  7,218     $  9,993     $  4,293     $10,128     $ 14,421 
 
    Average Diluted Common Shares Outstanding		  10,789     26,710     37,499     11,206     26,005     37,211 
 
    Diluted Earnings Per Share		  $   0.26     $   0.27         $   0.38     $   0.39     
Reconciliation of Basic and Diluted EPS Calculations:                      
    Net Income Used for Basic EPS Calculation  $  2,759     $  7,234     $  9,993     $  4,287     $10,134     $ 14,421 
    Assumed Dividends Payable on Dilutive Shares:                    
        Performance shares  12     1     13     8     -0-     8 
    Increase (Reduction) of Undistributed Earnings  -                       
      allocated based on Class A and Class B shares  4     (17)    (13)    (2)    (6)    (8)
    Net Income Used for Diluted EPS Calculation  $  2,775     $  7,218     $  9,993     $  4,293     $10,128     $ 14,421 
 
    Average Shares Outstanding for Basic
      EPS Calculation		  10,702     26,706     37,408     11,139     25,980     37,119 
    Dilutive Effect of Average Outstanding:                      
        Performance shares  87     4     91     21     1     22 
        Restricted share units  -0-     -0-     -0-     46     24     70 
    Average Shares Outstanding for Diluted
      EPS Calculation		  10,789     26,710     37,499     11,206     26,005     37,211 
Included in dividends declared for the basic and diluted earnings per share computation are dividends computed and accrued on unvested Class A and Class B restricted share units, which will be paid by a conversion to the equivalent value of common shares after a vesting period.  Restricted share units held by retirement-age participants have a nonforfeitable right to dividends and are deducted from the above dividends and undistributed earnings figures allocable to common Share Owners. Previously reported earnings per share calculations for the nine months ended March 31, 2009 have been recast as a result of FASB guidance on determining whether instruments granted in share-based payment transactions are participating securities. See Note 1 - Summary of Significant Accounting Policies of Notes to Condensed Consolidated Financial Statements for further discussion.
All of the 704,000 and 756,000 average outstanding stock options were antidilutive and were excluded from the dilutive calculations for the nine months ended March 31, 2010 and 2009, respectively.