Capital Stock and Earnings per Share

12 Months Ended

Dec. 31, 2011

Capital Stock and Earnings per Share [Abstract]

Capital Stock and Earnings per Share

16. CAPITAL STOCK AND EARNINGS PER SHARE

We are authorized to issue 250 million shares of preferred stock, none of which were issued or outstanding as of December 31, 2011.

The numerator for both basic and diluted earnings per share is net earnings available to common stockholders. The denominator for basic earnings per share is the weighted average number of common shares outstanding during the period. The denominator for diluted earnings per share is weighted average shares outstanding adjusted for the effect of dilutive stock options and other equity awards. The following is a reconciliation of weighted average shares for the basic and diluted share computations (in millions):

For the Years Ended December 31,	2011		2010		2009
Weighted average shares outstanding for basic net earnings per share		187.6		200.0		215.0
Effect of dilutive stock options and other equity awards		1.1		1.1		0.8
Weighted average shares outstanding for diluted net earnings per share		188.7		201.1		215.8

For the year ended December 31, 2011, an average of 13.2 million options to purchase shares of common stock were not included in the computation of diluted earnings per share as the exercise prices of these options were greater than the average market price of the common stock. For the years ended December 31, 2010 and 2009, an average of 13.7 million and 14.3 million options, respectively, were not included.

During 2011, we repurchased 18.9 million shares of our common stock at an average price of $55.54 per share for a total cash outlay of $1,050.0 million, including commissions. In December 2011, we announced a new program authorizing purchases of up to $1.5 billion through December 31, 2014 and announced that we were no longer authorized to repurchase shares under prior programs. As of December 31, 2011, all $1.5 billion from the new program remained available to repurchase shares.

In December 2011, we declared a dividend of $0.18 per share to be paid in April 2012 to stockholders of record as of the close of business on March 30, 2012. As of December 31, 2011, we have recognized a dividend payable of $32.1 million based upon the common stock outstanding on that date. Future declarations of dividends are subject to approval of the Board of Directors and may be adjusted as business needs or market conditions change.