EX-11 10 v79351ex11.txt EXHIBIT 11 SAFECO Corporation and Subsidiaries -------------------------------------------------------------------------------- COMPUTATION OF INCOME (LOSS) PER SHARE OF COMMON STOCK Exhibit 11 --------------------------------------------------------------------------------
Year Ended December 31 2001 2000 1999 ------------------------------------------------------------------- -------- -------- -------- (In Millions Except Per Share Amounts) BASIC NET INCOME (LOSS) PER SHARE Net Income (Loss) $ (989.2) $ 114.6 $ 252.2 -------- -------- -------- Average Number of Common Shares Outstanding 127.7 127.8 132.7 -------- -------- -------- Basic Net Income (Loss) Per Share $ (7.75) $ 0.90 $ 1.90 -------- -------- -------- DILUTED NET INCOME (LOSS) PER SHARE Net Income (Loss) $ (989.2) $ 114.6 $ 252.2 -------- -------- -------- Average Number of Common Shares Outstanding 127.7 127.8 132.7 Additional Common Shares Assumed Issued Under Treasury Stock Method (All due to employee stock options) 0.2 -- 0.1 -------- -------- -------- Average Number of Common Shares Outstanding 127.9 127.8 132.8 -------- -------- -------- Diluted Net Income (Loss) Per Share $ (7.73) $ 0.90 $ 1.90 ======== ======== ========
Basic earnings per share are calculated by dividing net income by the weighted-average number of common shares outstanding. Diluted earnings per share reflect the potential dilution that could occur if options granted under various stock-based compensation plans were exercised resulting in the issuance of common shares. Due to the net loss in 2001, SAFECO used basic weighted-average shares outstanding to calculate income (loss) per share of common stock. Using diluted weighted-average shares outstanding would have resulted in a lower net loss per share of common stock. E-4