EARNINGS PER SHARE

The Company calculates earnings per share in accordance with FASB ASC Topic 260, Earnings Per Share (“ASC 260”). ASC 260 addresses whether instruments granted in share-based payment transactions are participating securities prior to vesting, and, therefore, need to be included in the earnings allocation in computing earnings per share under the two-class method. Under the guidance in ASC 260, the Company’s unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents, whether paid or unpaid, are participating securities and must be included in the computation of earnings per share pursuant to the two-class method.

On July 11, 2013, the Company’s Board of Directors approved a two-for-one stock split in the form of a stock dividend that was paid on November 1, 2013 to stockholders of record on October 1, 2013. On April 24, 2014, the Company amended its Restated Certificate of Incorporation to increase the number of shares of the Company’s authorized common stock from 160,000,000 shares to 320,000,000 shares. All share and per share data in this Annual Report on Form 10-K has been presented to reflect the split and increase in authorized shares.

The following table sets forth the computation of basic and diluted earnings per share:



	Fiscal Year
(In millions, except share and per share data)	2014			2013			2012
Numerator:
Net earnings attributable to Wolverine World Wide, Inc.	$	133.1		$	100.4		$	80.7
Adjustment for earnings allocated to nonvested restricted common stock	(2.9		)	(2.3		)	(1.7		)
Net earnings used to calculate basic earnings per share	130.2			98.1			79.0
Adjustment for earnings reallocated to nonvested restricted common stock	0.1			0.1			0.1
Net earnings used to calculate diluted earnings per share	$	130.3		$	98.2		$	79.1
Denominator:
Weighted average shares outstanding	101,433,114			100,253,617			97,632,336
Adjustment for nonvested restricted common stock	(3,228,955		)	(3,308,162		)	(2,757,836		)
Shares used to calculate basic earnings per share	98,204,159			96,945,455			94,874,500
Effect of dilutive stock options	1,860,661			1,993,343			2,154,152
Shares used to calculate diluted earnings per share	100,064,820			98,938,798			97,028,652
Net earnings per share:
Basic	$	1.33		$	1.01		$	0.84
Diluted	$	1.30		$	0.99		$	0.81

Options granted to purchase 1,116,576 shares of common stock in fiscal 2014, 449,036 shares in fiscal 2013 and 775,182 shares in fiscal 2012 have not been included in the denominator for the computation of diluted earnings per share for each of those fiscal years because the related exercise prices were greater than the average market price for the year, and they were, therefore, anti-dilutive.

The Company has 2,000,000 authorized shares of $1 par value preferred stock, none of which was issued or outstanding as of January 3, 2015 or December 28, 2013. The Company has designated 150,000 shares of preferred stock as Series A junior participating preferred stock and 500,000 shares of preferred stock as Series B junior participating preferred stock for possible future issuance.

On February 12, 2014, the Company's Board of Directors approved a common stock repurchase program that authorizes the repurchase of up to $200.0 million in common stock over a four-year period. The Company did not repurchase any shares of Company common stock in fiscal 2014 or fiscal 2013 under a stock repurchase program and repurchased $2.4 million of Company stock during fiscal 2012. In addition to the stock repurchase program activity, the Company acquired $10.5 million, $0.8 million and $11.7 million of shares in fiscal years 2014, 2013 and 2012, respectively, in connection with employee transactions related to stock incentive plans.