# Exhibit 11.1

# DEPARTMENT 56, INC.COMPUTATION OF NET
INCOME PER SHARE(In thousands, except per share amounts)

|                                                                                       |  | 13 Weeks Ended October 1, 2005 |   | 13 Weeks Ended October 2, 2004
|-------------------------------------------------------------------------------------- |  | ------------------------------ | - | ------------------------------
|                                                                                       |  |                                |   |                               
|Basic:                                                                                 |  |                                |   |                               
|Net income                                                                             |  |                                | $ | 11,062                        
|                                                                                       |  |                                |   |                               
|                                                                                      
|Weighted average number of common shares outstanding                                   |  |                                |   | 13,688                        
|                                                                                      
|Net income per common share  basic                                                    |  |                                | $ | 0.81                          
|                                                                                       |  |                                |   |                               
|                                                                                      
|Assuming Dilution:                                                                     |  |                               
|Net income                                                                             |  |                                | $ | 11,062                        
|                                                                                       |  |                                |   |                               
|                                                                                      
|Weighted average number of common shares outstanding                                   |  |                                |   | 13,688                        
|                                                                                      
|Dilutive impact of the assumed exercise of stock options and unvested restricted stock |  |                                |   | 25                            
|                                                                                       |  |                                |   |                               
|                                                                                      
|Weighted average number of common and common equivalent shares                         |  |                                |   | 13,713                        
|                                                                                       |  |                                |   |                               
|                                                                                      
|Net income per common share  assuming dilution                                        |  |                                | $ | 0.81                          
|                                                                                       |  |                                |   |                               

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|                                                                                       |  | 39 Weeks Ended October 1, 2005 |   | 39 Weeks Ended October 2, 2004
|-------------------------------------------------------------------------------------- |  | ------------------------------ | - | ------------------------------
|                                                                                       |  |                                |   |                               
|Basic:                                                                                 |  |                                |   |                               
|Net income                                                                             |  |                                | $ | 12,552                        
|                                                                                       |  |                                |   |                               
|                                                                                      
|Weighted average number of common shares outstanding                                   |  |                                |   | 13,661                        
|                                                                                      
|Net income per common share  basic                                                    |  |                                | $ | 0.92                          
|                                                                                       |  |                                |   |                               
|Assuming Dilution:                                                                     |  |                               
|Net income                                                                             |  |                                | $ | 12,552                        
|                                                                                       |  |                                |   |                               
|                                                                                      
|Weighted average number of common shares outstanding                                   |  |                                |   | 13,661                        
|                                                                                      
|Dilutive impact of the assumed exercise of stock options and unvested restricted stock |  |                                |   | 125                           
|                                                                                       |  |                                |   |                               
|                                                                                      
|Weighted average number of common and common equivalent shares                         |  |                                |   | 13,786                        
|                                                                                       |  |                                |   |                               
|                                                                                      
|Net income per common share  assuming dilution                                        |  |                                | $ | 0.91                          
|                                                                                       |  |                                |   |                               

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