Income per Common Share

9 Months Ended

Apr. 01, 2016

3. Income per Common Share

The Company computes basic income per common share using net income and the weighted average number of common shares outstanding during the period. Diluted income per common share is computed using net income and the weighted average number of common shares and potentially dilutive common shares outstanding during the period. Potentially dilutive common shares include dilutive outstanding employee stock options, rights to purchase shares of common stock under the Company’s Employee Stock Purchase Plan (“ESPP”) and awards of restricted stock units.

The following table illustrates the computation of basic and diluted income per common share (in millions, except per share data):



	Three Months Ended				Nine Months Ended
	April 1, 2016		April 3, 2015		April 1, 2016		April 3, 2015
Net income	$	74	$	384	$	608	$	1,245
Weighted average shares outstanding:
Basic	233		231		232		233
Employee stock options and other	1		5		2		5
Diluted	234		236		234		238
Income per common share:
Basic	$	0.32	$	1.66	$	2.62	$	5.34
Diluted	$	0.32	$	1.63	$	2.60	$	5.23
Anti-dilutive potential common shares excluded*	6		1		5		1



*	For purposes of computing diluted income per common share, certain potentially dilutive securities have been excluded from the calculation because their effect would have been anti-dilutive.