**Exhibit11.1**

 

**CornellCorrections, Inc.**

**StatementRe:  Computation of Per Share Earnings**

**(inthousands except per share amounts)**

 

 
| ** **                                                                                     | ** ** | **Three Months Ended September 30,** | ** ** | **Nine Months Ended September 30,** | ** ** |
|------------------------------------------------------------------------------------------------|------------|--------------------------------------|------------|-------------------------------------|------------|
| ** **                                                                                     | ** ** | **2005**                             | ** ** | **2004**                            | ** ** | **2005** | ** ** | **2004** | ** ** |
| ** **                                                                                     | ** ** | **Basic**                            | ** ** | **Diluted**                         | ** ** | **Basic** | ** ** | **Diluted** | ** ** | **Basic** | ** ** | **Diluted** | ** ** | **Basic** | ** ** | **Diluted** | ** ** |
| ** **                                                                                     | ** ** | ** **                           | ** ** | ** **                          | ** ** | ** ** | ** ** | ** ** | ** ** | ** ** | ** ** | ** ** | ** ** | ** ** | ** ** | ** ** | ** ** |
| Net income (loss)                                                                              |       | $                                    | 1,277      |                                | $          | 1,277 |   | $ | (897 | ) | $ | (897 | ) | $ | (1,307 | ) | $ | (1,307 | ) | $ | (1,288 | ) | $ | (1,288 | ) |
| Shares used in computing net earnings per share:                                               |       |                                 |       |                                |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted average common shares and common share equivalents                                    |       | 15,142                               |       | 15,142                              |       | 14,744 |   | 14,744 |   | 15,047 |   | 15,047 |   | 14,688 |   | 14,688 |   |
| Less treasury shares                                                                           |       | (1,563                               | )          | (1,563                              | )          | (1,545 | ) | (1,545 | ) | (1,563 | ) | (1,563 | ) | (1,545 | ) | (1,545 | ) |
| Effect of shares issuable under stock options and warrants based on  the treasury stock method |       | —                               |       | 107                                 |       | — |   | 220 |   | — |   | 124 |   | — |   | 217 |   |
|                                                                                           |       | 13,579                               |       | 13,686                              |       | 13,199 |   | 13,419 |   | 13,484 |   | 13,608 |   | 13,143 |   | 13,360 |   |
| Net income (loss) per share                                                                    |       | $                                    | .09        |                                | $          | .09 |   | $ | (0.07 | ) | $ | (0.07 | ) | $ | (0.10 | ) | $ | (0.10 | ) | $ | (0.10 | ) | $ | (0.10 | ) |
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