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Earnings (Loss) Per Share and Stockholders' Equity
 9 Months Ended
Sep. 30, 2016
Earnings Per Share [Abstract]  
Earnings (Loss) Per Share and Stockholders' Equity
Earnings (Loss) Per Share and Stockholders' Equity
Earnings (Loss) Per Share
The following table sets forth the computation of earnings (loss) per common share and earnings (loss) per common share - assuming dilution:
 
Three Months Ended 
 September 30,
 
Nine Months Ended 
 September 30,
 
2016
 
2015
 
2016
 
2015
 
(Dollars in thousands, except per share data)
Numerator:
 
 
 
 
 
 
 
Net income (loss) - numerator for earnings (loss) per common share
$
(7,420
)
 
$
97,306

 
$
(37,553
)
 
$
186,054

 
 
 
 
 
 
 
 
Denominator:
 
 
 
 
 
 
 
Weighted average common shares outstanding (1)
86,261,692

 
79,675,955

 
83,645,427

 
77,994,602

Effect of dilutive securities:
 
 
 
 
 
 
 
2015 warrants
—

 
714,980

 
20,219

 
766,795

Stock options and deferred compensation agreements
424,875

 
981,271

 
423,498

 
1,076,166

Restricted stock and restricted stock units
357,359

 
186,430

 
323,409

 
139,747

Denominator for earnings (loss) per common share - assuming dilution
87,043,926

 
81,558,636

 
84,412,553

 
79,977,310

 
 
 
 
 
 
 
 
Earnings (loss) per common share
$
(0.09
)
 
$
1.22

 
$
(0.45
)
 
$
2.39

Earnings (loss) per common share - assuming dilution
$
(0.09
)
 
$
1.19

 
$
(0.45
)
 
$
2.33



(1)
Weighted average common shares outstanding include shares vested under the NMO Deferred Compensation Plan.
Options to purchase shares of our common stock that were outstanding during the respective periods indicated but were not included in the computation of diluted earnings (loss) per share because the options' exercise price was greater than the average market price of the common shares are as follows:
Period
 
Number of
Shares
 
Range of
Exercise Prices
 
 
 
 
Minimum
 
Maximum
Three months ended September 30, 2016
 
1,058,491
 
$24.79
 
$24.79
Three months ended September 30, 2015
 
—
 
$—
 
$—
Nine months ended September 30, 2016
 
1,058,491
 
$24.79
 
$24.79
Nine months ended September 30, 2015
 
—
 
$—
 
$—

Stockholders' Equity
In August 2015, we completed an underwritten public offering of 8,600,000 shares of our common stock at a public offering price of $25.25 per share, of which 4,300,000 shares were subject to a forward sale agreement. The underwriters exercised in full their option to purchase 1,290,000 additional shares of common stock, which were subject to a separate forward sale agreement. We settled the forward sale agreements on August 1, 2016 and issued 5,590,000 shares of our common stock and received $134.7 million in net proceeds. We contributed the net proceeds from the settlement to the capital and surplus of American Equity Life.
The forward sale agreements had no initial fair value since they were entered into at the then market price of the common stock. The forward sale agreements are equity instruments and qualify for an exception from derivative and fair value accounting.