Earnings Per Share Attributable to Federated Investors, Inc. Shareholders

The following table sets forth the computation of basic and diluted earnings per share using the two-class method for amounts attributable to Federated for the years ended December 31:



in thousands, except per share data	2017			2016			2015
Numerator – Basic and Diluted
Net income attributable to Federated Investors, Inc.¹	$	291,341		$	208,919		$	169,807
Less: Total income available to participating unvested restricted shareholders²	(11,420		)	(7,632		)	(6,608		)
Total net income attributable to Federated Common Stock^1,3	$	279,921		$	201,287		$	163,199
Denominator
Basic weighted-average Federated Common Stock³	97,411			99,116			100,475
Dilutive potential shares from stock options	1			1			2
Diluted weighted-average Federated Common Stock³	97,412			99,117			100,477
Earnings per share
Net income attributable to Federated Common Stock - Basic and Diluted^3,4	$	2.87		$	2.03		$	1.62


1	2017 includes a $70.4 million reduction to the income tax provision resulting from the revaluation of the net deferred tax liability due to the enactment of the Tax Act, thereby increasing net income.


2	Income available to participating unvested restricted shareholders includes dividends paid on unvested restricted shares and their proportionate share of undistributed earnings.


3	Federated Common Stock excludes unvested restricted stock which are deemed participating securities in accordance with the two-class method of computing earnings per share.


4	2017 includes a $0.69 increase to earnings per share resulting from the revaluation of the net deferred tax liability due to the enactment of the Tax Act.