Note 13 – Earnings per Share

The table below provides a reconciliation of net income (loss) and the number of common shares used in the computations of “basic” earnings per share (“EPS”), which utilizes the weighted-average number of common shares outstanding without regard to dilutive potential common shares, and “diluted” EPS, which includes all such shares. Potentially dilutive securities consist of shares of non-vested restricted stock and the redeemable non-controlling interests in the Operating Partnership.

All outstanding non-vested shares that contain non-forfeitable rights to dividends are considered participating securities and are included in computing EPS pursuant to the two-class method which specifies that all outstanding non-vested share-based payment awards that contain non-forfeitable rights to distributions are considered participating securities and should be included in the computation of EPS.

Earnings per share has not been presented for Class B shareholders, as they do not have economic rights.

(in thousands except per share amounts)	Three Months Ended June 30,						Six Months Ended June 30,
	2018			2017			2018			2017
Numerator
Net income (loss)	$	(10,602	)	$	(34,867	)	$	5,599		$	(67,711	)
Net (income) loss attributable to non-controlling interests		3,831			13,648			(2,042	)		26,654
Preferred dividends		(1,225	)		—			(2,453	)		—
Net income (loss) attributable to common shareholders	$	(7,996	)	$	(21,219	)	$	1,104		$	(41,057	)
Earnings allocated to unvested participating securities		—			—			(4	)		—
Net income (loss) available to common shareholders - Basic and diluted	$	(7,996	)	$	(21,219	)	$	1,100		$	(41,057	)

Denominator
Weighted average Class A common shares outstanding		35,372			27,922			34,527			27,835
Weighted average Class C common shares outstanding		111			5,844			922			5,803
Weighted average Class A and Class C common shares outstanding - Basic		35,483			33,766			35,449			33,638
Restricted shares and share units		—			—			139			—
Weighted average Class A and Class C common shares outstanding - Diluted		35,483			33,766			35,588			33,638

Net income (loss) per share attributable to Class A and Class C common shareholders - Basic	$	(0.23	)	$	(0.63	)	$	0.03		$	(1.22	)
Net income (loss) per share attributable to Class A and Class C common shareholders - Diluted	$	(0.23	)	$	(0.63	)	$	0.03		$	(1.22	)

No adjustments were made to the numerator for the three months ended June 30, 2018 and June 30, 2017 or the six months ended June 30, 2017 because the Company generated a net loss. During periods of net loss, undistributed losses are not allocated to the participating securities as they are not required to absorb losses.

No adjustments were made to the denominator for the three months ended June 30, 2018 and June 30, 2017 or the six months ended June 30, 2017 because (i) the inclusion of outstanding non-vested restricted shares would have had an anti-dilutive effect and (ii) including the non-controlling interest in the Operating Partnership would also require that the share of the Operating Partnership loss attributable to such interests be added back to net loss, therefore, resulting in no effect on earnings per share.

As of June 30, 2018 and December 31, 2017, there were 139,000 and 67,000 unvested participating restricted shares and share units outstanding, respectively, and 490,450 and 245,570 total unvested restricted shares and share units outstanding, respectively.