EXHIBIT 11
TALK.COM INC. AND SUBSIDIARIES
COMPUTATION OF NET INCOME PER SHARE
(IN THOUSANDS)
(UNAUDITED)
<TABLE>
<CAPTION>
FOR THE THREE MONTHS ENDED FOR THE SIX MONTHS ENDED
JUNE 30, JUNE 30,
------------------------- -------------------------
2000 1999 2000 1999
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<S> <C> <C> <C> <C>
Income (loss) before extraordinary gain $ (891) $14,038 $12,489 $26,372
Extraordinary gain -- -- -- 18,997
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Net income (loss) $ (891) $14,038 $12,489 $45,369
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BASIC:
Weighted average common shares
outstanding 65,822 60,422 65,563 59,670
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Income (loss) before extraordinary gain $(0.01) $ 0.23 $ 0.19 $ 0.44
Extraordinary gain -- -- -- 0.32
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Net income (loss) $(0.01) $ 0.23 $ 0.19 $ 0.76
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DILUTED:
Weighted average common and common
equivalent shares outstanding:
Weighted average shares 65,822 60,422 65,563 59,670
Effect of assumed conversion of common stock
options -- 2,938 1,771 3,224
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Weighted average common and common equivalent
shares 65,822 63,360 67,334 62,894
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Income (loss) before extraordinary gain $(0.01) $ 0.22 $ 0.19 $ 0.42
Extraordinary gain -- -- -- 0.30
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Net income (loss) $(0.01) $ 0.22 $ 0.19 $ 0.72
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</TABLE>