<PAGE>
EXHIBIT 11
XL CAPITALLTD
COMPUTATION OF EARNINGS PER ORDINARY SHARE
AND ORDINARY SHARE EQUIVALENT
(U.S. DOLLARS AND SHARES IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
<TABLE>
<CAPTION>
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30 JUNE 30
------------------- -------------------
2000 1999 2000 1999
-------- -------- -------- --------
(UNAUDITED) (UNAUDITED)
<S> <C> <C> <C> <C>
BASIC EARNINGS PER SHARE:
Net income........................................... $142,484 $62,708 $366,243 $272,519
Weighted average ordinary shares outstanding......... 124,431 126,785 124,948 127,599
Basic earnings per share............................. $ 1.15 $ 0.49 $ 2.93 $ 2.14
======== ======= ======== ========
DILUTED EARNINGS PER SHARE:
Net income........................................... $142,484 $62,708 $366,243 $272,519
Add back after-tax interest on convertible
debentures......................................... -- 876 -- 1,752
-------- ------- -------- --------
Adjusted net income.................................. 142,484 63,584 366,243 274,271
======== ======= ======== ========
Weighted average ordinary shares outstanding-basic... 124,431 126,785 124,948 127,599
Average stock options outstanding (1)................ 1,249 1,254 930 1,923
Assumed conversion of convertible debentures (2)..... -- 1,837 -- 1,837
-------- ------- -------- --------
Weighted average ordinary shares
outstanding-diluted................................ 125,680 129,876 125,878 131,359
-------- ------- -------- --------
Diluted earnings per share........................... $ 1.13 $ 0.48 $ 2.91 $ 2.07
======== ======= ======== ========
Dividends per share.................................. $ 0.45 $ 0.44 $ 0.90 $ 0.88
======== ======= ======== ========
</TABLE>
------------------------
(1) Net of shares repurchased under the treasury stock method.
(2) 1999 reflects the assumed conversion of the 5.25% Convertible Subordinated
Debentures due 2000, formerly issued by NAC Re. These debentures were called
in June 1999 and the actual conversion is reflected in 1999.
