Earnings Per Share

3 Months Ended

May 31, 2014

Earnings Per Share

NOTE 9—Earnings Per Share

The Company computes basic net income per common share by dividing net income available to common stockholders by the weighted average number of common shares outstanding. Diluted net income per common share is computed by dividing net income by the weighted average number of common shares and dilutive potential common share equivalents then outstanding. Potential common share equivalents consist of shares issuable upon the exercise of stock options or vesting of share-based awards.

The following table reconciles the numerators and denominators of the earnings per share calculation for the three months ended May 31, 2014 and May 31, 2013 (in thousands, except per share amounts):

	Three Months Ended
	May 31, 2014		May 31, 2013
Net income, basic and diluted	$	37,745	$	40,391
Weighted average common shares outstanding		189,372		191,114
Incremental shares attributable to assumed vesting or exercise of outstanding equity awards shares		2,085		1,855
Diluted shares		191,457		192,969
Diluted net income per share	$	0.20	$	0.21

The following shares awards are not included in the computation of diluted earnings per share because the aggregate value of proceeds considered received upon either exercise or vesting were greater than the average market price of the Company’s common stock during the related periods and the effect of including such share awards in the computation would be anti-dilutive (in thousands):

	Three Months Ended
	May 31, 2014		May 31, 2013
Number of shares considered anti-dilutive for calculating diluted EPS		385		315