Calculation Of Net Income Per Share

3 Months Ended

Mar. 31, 2013

Earnings Per Share [Abstract]

Calculation Of Net Income Per Share Attributable To Verisign Stockholders

Calculation of Net Income per Share

The Company computes basic net income per share by dividing net income by the weighted-average number of common shares outstanding during the period. Diluted net income per share gives effect to dilutive potential common shares, including the conversion spread relating to the Subordinated Convertible Debentures, unvested RSUs, outstanding stock options, and employee stock purchases, using the treasury stock method. The following table presents the computation of weighted-average shares used in the calculation of basic and diluted net income per share:

	Three Months Ended March 31,
	2013	2012
	(In thousands)
Weighted-average number of common shares outstanding	152,543	159,344
Weighted-average potential shares of common stock outstanding:
Conversion spread related to the Subordinated Convertible Debentures	7,904	2,541
Unvested RSUs	787	767
Stock options	104	201
Employee stock purchase plan	8	28
Shares used to compute diluted net income per share	161,346	162,881

The following table presents the weighted-average potential shares of common stock that were excluded from the above calculation because their effect was anti-dilutive, and the respective weighted-average exercise prices of the weighted-average stock options outstanding:

	Three Months Ended March 31,
	2013		2012
	(In thousands, except per share data)
Weighted-average stock options outstanding	—		60
Weighted-average exercise price	$	—	$	40.81
Weighted-average RSUs outstanding	301		2
Employee stock purchase plan	86		120