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                                                                    EXHIBIT (11)
 
                          BETHLEHEM STEEL CORPORATION
 
             STATEMENT REGARDING COMPUTATION OF EARNINGS PER SHARE

     (dollars in millions and shares in thousands, except per share data)

<TABLE> 
<CAPTION> 
       THREE MONTHS                                                                                          YEAR
     ENDED DECEMBER 31                                                                                  ENDED DECEMBER 31
  ------------------------                                                                          ----------------------------
    1998            1997                       BASIC EARNINGS PER SHARE                               1998                1997
  --------        --------                     ------------------------                             ---------           --------
  <S>             <C>              <C>                                                              <C>                 <C> 
  ($ 23.2)        $   41.7         NET INCOME                                                       $  120.1            $  280.7
                                   LESS DIVIDEND REQUIREMENTS:
     (2.5)            (2.5)           $2.50 Preferred Dividend                                         (10.0)              (10.0)
     (3.1)            (3.1)           $5.00 Preferred Dividend                                         (12.5)              (12.5)
     (4.5)            (4.5)           $3.50 Preferred Dividend                                         (17.9)              (17.9)
     (0.2)            (0.3)           5% Preference Dividend                                            (1.3)               (1.2)
  -------         --------                                                                          --------            --------
    (10.3)           (10.4)           TOTAL PREFERRED AND PREFERENCE DIVIDENDS                         (41.7)              (41.6)
  -------         --------                                                                          --------            --------
  ($ 33.5)        $   31.3         NET INCOME APPLICABLE TO COMMON STOCK                            $   78.4            $  239.1
  =======         ========                                                                          ========            ========
 
  129,299          112,863         AVERAGE SHARES OF COMMON STOCK                                    122,585             112,439
                                      
  ($ 0.26)        $   0.28         BASIC EARNINGS PER SHARE                                         $   0.64            $   2.13
  =======         ========                                                                          ========            ========

                                               DILUTED EARNINGS PER SHARE
                                               ---------------------------
  ($ 23.2)        $   41.7         NET INCOME                                                       $  120.1            $  280.7
                                   LESS DIVIDEND REQUIREMENTS:
     (2.5)            (2.5)           $2.50 Preferred Dividend                                         (10.0)              (10.0)
     (3.1)            (3.1)           $5.00 Preferred Dividend                                         (12.5)              (12.5)
     (4.5)            (4.5)           $3.50 Preferred Dividend                                         (17.9)                  -
        -                -            5% Preference Dividend                                               -                   -
  --------        --------                                                                          --------            --------
  ($ 33.3)        $   31.6         NET INCOME APPLICABLE TO COMMON STOCK                            $   79.7            $  258.2
  =======         ========                                                                          ========            ========
 
                                   AVERAGE SHARES OF COMMON STOCK AND
                                   OTHER POTENTIALLY DILUTIVE SECURITIES OUTSTANDING:
  129,299          112,863            Common Stock                                                   122,585             112,439
       94                -            Stock Options                                                      429                   -
     *                *               $2.50 Preferred Stock                                             *                   *
     *                *               $5.00 Preferred Stock                                             *                   *
     *                *               $3.50 Preferred Stock                                             *                 12,255
     *               2,346            5% Preference Stock                                              2,175               2,346
  -------         --------                                                                          --------            --------
  129,393          115,209                 TOTAL                                                     125,189             127,040
  =======         ========                                                                          ========            ========
 
  ($ 0.26)        $   0.27         DILUTED EARNINGS PER SHARE                                       $   0.64            $   2.03
  =======         ========                                                                          ========            ========
</TABLE> 
 
*  ANTIDILUTIVE
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