## **EXHIBIT  11**

**Nano-Proprietary, Inc. **

**COMPUTATION OF (LOSS) PER COMMON SHARE**

 

|                                                                                                                          |        | Three months endedDecember 31, |                           | Year endedDecember 31, |                                |
|------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------|--------------------------------|------------------------|--------------------------------|
|                                                                                                                               |   | 2003                           |       | 2002                   |       | 2003 |       | 2002 |  |
|                                                                                                                               |   |                           |                           |                   |                           |   |   |   |   |
| Computation of income ( loss ) per common share:                                                                                   |   |                           |                           |                   |                           |   |   |   |
|                                                                                                                               |   |                           |                           |                   |                           |   |   |  |
|     Net income (loss) applicable to common         shareholders   |   | $(1,534,897)                   |                           | $(600,597)             |                           | $   (4,214,202) |  | $(4,946,351) |  |
|                                                                                                                               |   |                           |                           |                   |                           |   |   |   |  |
|    Weighted average number of common shares                                                                              |   | 95,424,044                |                           | 75,984,625        |                           |  87,366,507  |   | 71,829,575  |  |
|                                                                                                                               |   |                           |                           |                   |                           |   |   |   |  |
|    Net income (loss) per common share                                                                                    |   | $(0.02)                        |                           | $(0.01)                |                           | $(0.05) |   | $(0.07) |  |
|                                                                                                                               |   |                           |                           |                   |                           |   |   |   |  |
|                                                                                                                               |   |                           |                           |                   |                           |   |   |   |  |
|                                                                                                                               |   |                           |                           |                   |                           |   |   |   |  |

No computation of diluted loss per common share is included for the any periods becausesuch computation results in an antidilutive loss per common share.