Earnings per Common Share (Tables)

9 Months Ended

Sep. 30, 2019

Reconciliation of Net Income and Weighted Average Shares Outstanding Used in Computing Basic and Diluted Net Income Per Common Share

The following table sets forth a reconciliation of net income and weighted average shares outstanding (in millions) used in computing basic and diluted net income per common share:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2019			2018			2019			2018
Net income (loss)	$	32.1		$	(11.2	)	$	56.3		$	148.6
Less: Net income attributable to noncontrolling interests		79.4			12.5			152.7			40.4
Less: Dividends on preferred stock		31.3			30.3			93.2			90.3
Net income attributable to common shareholders for basic earnings per share	$	(78.6	)	$	(54.0	)	$	(189.6	)	$	17.9

Weighted average shares outstanding - basic		232.7			226.5			232.4			222.1

Net income available per common share - basic	$	(0.34	)	$	(0.24	)	$	(0.82	)	$	0.08

Weighted average shares outstanding		232.7			226.5			232.4			222.1
Dilutive effect of common stock equivalents (1)		—			—			—			1.7
Weighted average shares outstanding - diluted		232.7			226.5			232.4			223.8

Net income available per common share - diluted	$	(0.34	)	$	(0.24	)	$	(0.82	)	$	0.08

(1)

The dilutive effects of common stock equivalents were computed using the treasury method for warrants and unvested stock awards, and the if-converted method for convertible preferred stock. For the periods with net income attributable to common shareholders, the anti-dilution sequencing rule was applied from the most dilutive to the least dilutive common shares.

Summary of Potential Common Stock Equivalents Excluded from Determination of Diluted Earnings Per Share

The following potential common stock equivalents are excluded from the determination of diluted earnings per share because the inclusion of such shares would have been anti-dilutive (in millions on a weighted-average basis):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2019		2018		2019		2018
Unvested restricted stock awards		1.2		2.2		1.1		—
Series A Preferred Stock (1)		46.5		46.5		46.5		46.5

(1)

The Series A Preferred has no mandatory redemption date, but is redeemable at our election in year six for a 10% premium to the liquidation preference and for a 5% premium to the liquidation preference in year seven and thereafter. If the Series A Preferred is not redeemed by the end of year twelve, the investors have the right to convert the Series A Preferred into TRC common stock. See Note 12 – Preferred Stock.