EARNINGS PER SHARE

3 Months Ended

Mar. 31, 2016

Earnings Per Share, Basic and Diluted [Abstract]

We report both basic and diluted EPS. Our restricted stock contain rights to receive nonforfeitable dividends and thus, are participating securities requiring the two-class method of computing EPS. A reconciliation of both calculations for the three months ended March 31, 2016 and 2015 is presented in the following table:



	Three months ended
	March 31,
(in thousands, except share, per share data and percentages)	2016			2015
Numerator:
Net income	$	64,237		$	67,132
Less: dividends declared and paid — common and restricted shares	(28,585		)	(25,220		)
Undistributed earnings	35,652			41,912
Percentage allocated to common shares (a)	99.4		%	99.2		%
Undistributed earnings — common shares	35,438			41,577
Add: dividends declared and paid — common shares	28,403			25,024
Numerator for basic and diluted earnings per common share	$	63,841		$	66,601
Denominator:
Basic earnings per common share — weighted average common shares outstanding	151,460,490			153,970,515
Incremental shares for stock options, employee stock purchase plan shares and performance shares — weighted average assumed conversion	1,012,299			1,444,202
Diluted earnings per common share — adjusted weighted average shares and assumed conversion	152,472,789			155,414,717
Per common share net income:
Basic	$	0.42		$	0.43
Diluted	$	0.42		$	0.43

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(a)	Weighted average common shares outstanding	151,460,490		153,970,515
	Weighted average restricted shares (participating securities)	982,640		1,209,468
	Total	152,443,130		155,179,983
	Percentage allocated to common shares	99.4	%	99.2	%

The incremental shares for stock options and employee stock purchase plan (“ESPP”) shares are included in the diluted EPS calculation using the treasury stock method, unless the effect of including them would be anti-dilutive. Additionally, performance shares are included in the diluted EPS calculation using the treasury stock method when the performance metric is substantively measurable as of the end of the reporting period and has been met under the assumption the end of the reporting period was the end of the performance period. The outstanding stock options, ESPP shares and performance shares and the anti-dilutive stock options and ESPP shares excluded from the diluted EPS calculations were as follows:



	2016	2015
Outstanding stock options, ESPP shares and performance shares (as of March 31)	4,004,003	4,553,938
Anti-dilutive stock options and ESPP shares (for the three months ended March 31)	524,834	542,312