Earnings (Loss) Per Share

6 Months Ended

Jun. 30, 2012

Earnings (Loss) Per Share

Earnings (Loss) Per Share

10. Earnings (Loss) Per Share

The Company’s nonvested stock awards, which are granted as part of the 2012 LTIP, contain nonforfeitable rights to dividends and as such, are considered to be participating securities and are included in the computation of basic and diluted earnings (loss) per share, pursuant to the two-class method. In the calculation of basic earnings (loss) per share attributable to common shareholders, participating securities are allocated earnings based on actual dividend distributions received plus a proportionate share of undistributed net income attributable to common shareholders, if any, after recognizing distributed earnings. The Company’s participating securities do not participate in undistributed net losses because they are not contractually obligated to do so.

The computation of diluted earnings per share attributable to common shareholders reflects the potential dilution that could occur if securities or other contracts to issue common shares that are dilutive were exercised or converted into common shares (or resulted in the issuance of common shares) and would then share in the earnings of the Company. During the periods in which the Company records a loss from continuing operations attributable to common shareholders, securities would not be dilutive to net loss per share and conversion into common shares is assumed to not occur. Diluted net income per share attributable to common shareholders is calculated under both the two-class method and the treasury stock method; the more dilutive of the two calculations is presented.

The following table is a calculation of the pro forma basic and diluted weighted-average shares outstanding for the three and six months ended June 30, 2012.

	For the Three Months Ended June 30,
	2012							2011
	Income			Shares	Per Share			Income	Shares	Per Share
	(in thousands, except per share amounts)
Net Loss	$	(112,377	)
Loss Allocable to Nonvested Restricted Stock (1)	—
Basic Net Loss Attributable to Common Stock	$	(112,377	)	60,887	$	(1.85	)	N/A	N/A	N/A
Effect of Dilutive Securities:
N/A (2)	—			—
Diluted Net Loss Attributable to Common Stock	$	(112,377	)	60,887	$	(1.85	)	N/A	N/A	N/A

	For the Six Months Ended June 30,
	2012							2011
	Income			Shares	Per Share			Income	Shares	Per Share
	(in thousands, except per share amounts)
Net Loss	$	(129,884	)
Loss Allocable to Nonvested Restricted Stock (1)	—
Basic Net Loss Attributable to Common Stock	$	(129,884	)	54,261	$	(2.39	)	N/A	N/A	N/A
Effect of Dilutive Securities:
N/A (2)	—			—
Diluted Net Loss Attributable to Common Stock	$	(129,884	)	54,261	$	(2.39	)	N/A	N/A	N/A

(1)Due to the basic net loss attributable to common shareholders for the three and six months ended June 30, 2012, the Company excluded 626,921 and 313,460 weighted-average outstanding nonvested restricted stock, respectively, from the computations of net loss per share because these securities do not participate in undistributed net losses.

(2)At June 30, 2012, there were no other dilutive securities outstanding to consider for the periods presented as unvested restricted stock grants had already been considered as part of the two-class method.

The aggregate number of common and nonvested restricted shares outstanding at June 30, 2012 was 65,634,353 and 915,210, respectively.