

7.	Earnings (Loss) per Share

Beginning in the fourth quarter of fiscal 2014, basic earnings (loss) per share is computed using the two-class method. The two-class method is an earnings allocation that determines earnings per share for each class of common stock and participating securities according to dividends declared and participation rights in undistributed earnings. The Company's restricted stock awards, issued in conjunction with the Questcor Acquisition in August 2014, are considered participating securities as holders are entitled to receive non-forfeitable dividends during the vesting term. Diluted earnings per share includes securities that could potentially dilute basic earnings per share during a reporting period, for which the Company includes all share-based compensation awards other than participating securities. Dilutive securities, including participating securities, are not included in the computation of loss per share when the Company reports a net loss from continuing operations as the impact would be anti-dilutive.

Prior to the fourth quarter of fiscal 2014, basic earnings (loss) per share was computed by dividing net income by the number of weighted-average shares outstanding during the period. Diluted earnings (loss) per share was computed using the weighted-average shares outstanding and, if dilutive, potential ordinary shares outstanding during the period. Potential ordinary shares represented the incremental ordinary shares issuable for restricted share units and share option exercises. The Company calculated the dilutive effect of outstanding restricted share units and share options on earnings (loss) per share by application of the treasury stock method.



	Three Months Ended
	December 26, 2014		December 27, 2013
Earnings (loss) per share numerator:
Income from continuing operations attributable to common shareholders before allocation of earnings to participating securities	$	92.1	$	46.4
Less: earnings allocated to participating securities	1.0		—
Income from continuing operations attributable to common shareholders, after earnings allocated to participating securities	91.1		46.4
Income (loss) from discontinued operations	0.6		(0.8		)
Less: earnings from discontinued operations allocated to participating securities	—		—
Income (loss) from discontinued operations attributable to common shareholders, after allocation of earnings to participating securities	0.6		(0.8		)
Net income attributable to common shareholders, after allocation of earnings to participating securities	$	91.7	$	45.6
Earnings (loss) per share denominator:
Weighted-average shares outstanding - basic	114.8		57.8
Impact of dilutive securities	1.5		0.6
Weighted-average shares outstanding - diluted	116.3		58.4
Basic earnings (loss) per share attributable to common shareholders
Income from continuing operations	$	0.79	$	0.80
Income (loss) from discontinued operations	0.01		(0.01		)
Net income attributable to common shareholders	$	0.80	$	0.79
Diluted earnings (loss) per share attributable to common shareholders
Income from continuing operations	$	0.78	$	0.79
Income (loss) from discontinued operations	0.01		(0.01		)
Net income attributable to common shareholders	$	0.79	$	0.78

There were no anti-dilutive equity awards excluded from the computation of diluted earnings per share for the three months ended December 26, 2014. An immaterial amount of equity awards were excluded from the computation of diluted earnings per share for the three months ended December 27, 2013 because the effect of which would have been anti-dilutive.