Earnings Per Share

9 Months Ended

Sep. 30, 2012

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

Basic earnings per share is computed using the weighted-average number of outstanding shares of common stock during the period. Diluted earnings per share is computed using the weighted-average number of outstanding shares of common stock and, when dilutive, potential outstanding shares of common stock during the period. Potential common shares consist of shares issuable upon the assumed conversion of the Company’s Senior Convertible Notes and incremental shares issuable upon the assumed exercise of stock options. The computation of earnings per share is as follows:

	Three Months Ended				Nine Months Ended
	September 30, 2012		September 30, 2011		September 30, 2012		September 30, 2011
	(in thousands, except per share data)
Basic earnings per share:
Net income	$	7,675	$	62,460	$	9,255	$	190,907
Shares used in computation:
Weighted-average common shares outstanding	55,541		52,569		55,508		52,599
Basic earnings per share	$	0.14	$	1.19	$	0.17	$	3.63
Diluted earnings per share:
Net income	$	7,675	$	62,460	$	9,255	$	190,907
Convertible Notes interest expense, net of tax	49		—		146		—
Numerator for diluted earnings per share	$	7,724	$	62,460	$	9,401	$	190,907
Shares used in computation:
Weighted-average common shares outstanding	55,541		52,569		55,508		52,599
Convertible notes shares	2,331		—		2,331		—
Employee stock options	857		1,301		990		1,409
Weighted-average number of shares	58,729		53,870		58,829		54,008
Diluted earnings per share	$	0.13	$	1.16	$	0.16	$	3.53

Employee stock options with exercise prices greater than the average market price of the common stock were excluded from the diluted calculation as their inclusion would have been anti-dilutive. The following table summarizes the potential common shares excluded from the diluted calculation:

	Three Months Ended		Nine Months Ended
	September 30, 2012	September 30, 2011	September 30, 2012	September 30, 2011
	(in thousands)
Employee stock options	1,782	189	1,199	76