Earnings Per Share

6 Months Ended

Jun. 30, 2014

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 common shares outstanding during the period. Potential common shares consist of shares issuable upon the assumed conversion of the Company’s Senior Convertible Notes (prior to the conversion of such notes in April 2013) and incremental shares issuable upon the assumed exercise of stock options. The computation of earnings per share is as follows:

	Three Months Ended				Six Months Ended
	June 30, 2014		June 30, 2013		June 30, 2014		June 30, 2013
	(in thousands, except per share data)
Basic earnings per share:
Net income	$	71,018	$	29,471	$	124,133	$	32,160
Shares used in computation:
Weighted-average common shares outstanding	59,996		58,192		59,907		57,089
Basic earnings per share	$	1.18	$	0.51	$	2.07	$	0.56
Diluted earnings per share:
Net income	$	71,018	$	29,471	$	124,133	$	32,160
Senior Convertible Notes interest expense, net of tax	—		—		—		49
Numerator for diluted earnings per share	$	71,018	$	29,471	$	124,133	$	32,209
Shares used in computation:
Weighted-average common shares outstanding	59,996		58,192		59,907		57,089
Senior Convertible Notes shares	—		564		—		1,442
Employee stock options	1,638		1,834		1,685		1,838
Weighted-average number of shares	61,634		60,590		61,592		60,369
Diluted earnings per share	$	1.15	$	0.49	$	2.02	$	0.53

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		Six Months Ended
	June 30, 2014	June 30, 2013	June 30, 2014	June 30, 2013
	(in thousands)
Employee stock options	99	318	70	384