<TABLE>
                    THE COASTAL CORPORATION AND SUBSIDIARIES
                 STATEMENT RE COMPUTATION OF PER SHARE EARNINGS
                 (Millions of Dollars, Except Per Share Amounts,
                            and Thousands of Shares)


<CAPTION>
                                                                    Three Months Ended         Nine Months Ended
                                                                       September 30,             September 30,
                                                                  ----------------------    ---------------------
                                                                     1999        1998         1999         1998
                                                                  ---------   ----------    ---------   ---------
                                                                        (Unaudited)               (Unaudited)

<S>                                                               <C>         <C>           <C>         <C>
BASIC EARNINGS PER SHARE
------------------------
   Net earnings...............................................    $   102.1   $     89.5    $   329.9   $   307.0
   Dividends on preferred stock...............................            -           .1           .2         6.0
                                                                  ---------   ----------    ---------   ---------
   Net earnings available to common stockholders..............    $   102.1   $     89.4    $   329.7   $   301.0
                                                                  =========   ==========    =========   =========

Average number of common shares outstanding...................      213,148      212,231      212,816     212,136
Average number of Class A common shares outstanding...........          348          357          350         361
                                                                  ---------   ----------    ---------   ---------
                                                                    213,496      212,588      213,166     212,497
                                                                  =========   ==========    =========   =========

Basic earnings per share:
   From continuing operations.................................    $     .48   $      .43    $    1.55   $    1.42
   Discontinued operations....................................            -         (.01)           -           -
                                                                  ---------   ----------    ---------   ---------
   Net basic earnings per share...............................    $     .48   $      .42    $    1.55   $    1.42
                                                                  =========   ==========    =========   =========


DILUTED EARNINGS PER SHARE
--------------------------
   Net earnings used in calculating basic earnings per share..    $   102.1   $     89.4    $   329.7   $   301.0
   Dividends applicable to dilutive preferred stock:
      Series A................................................            -           .1            -          .1
      Series B................................................            -            -           .1          .1
      Series C................................................            -            -           .1          .1
                                                                  ---------   ----------    ---------   ---------
   Income available to common shareholders plus
      assumed conversions.....................................    $   102.1   $     89.5    $   329.9   $   301.3
                                                                  =========   ==========    =========   =========

Average number of shares used in calculating basic earnings
   per share..................................................      213,496      212,588      213,166     212,497
Effect of dilutive securities:
   Options....................................................        2,835        2,013        2,524       2,204
   Series A, B and C preferred stock..........................        1,235        1,297        1,251       1,327
                                                                  ---------   ----------    ---------   ---------
                                                                    217,566      215,898      216,941     216,028
                                                                  =========   ==========    =========   =========

Diluted earnings per share:
   From continuing operations.................................    $     .47   $      .42    $    1.52   $    1.40
   Discontinued operations....................................            -         (.01)           -        (.01)
                                                                  ---------   ----------    ---------   ---------
   Net diluted earnings per share.............................    $     .47   $      .41    $    1.52   $    1.39
                                                                  =========   ==========    =========   =========


<FN>
------------------------------------

   Convertible securities and options are not considered in the calculations if
the effect of the conversion is anti-dilutive.



                                                     - 23 -
</FN>
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