Net income is allocated between the Company’s common shares and other participating securities based on their participation rights. The Series A Preferred Stock and Series B Preferred Stock represent participating securities. Earnings attributable to Series A Preferred Stock and Series B Preferred Stock are not included in earnings attributable to common shares in calculating earnings per common share (the two-class method). For periods of net loss, there is no impact from the two-class method on earnings per common share (“EPS”) as net loss is allocated to common shares because Series A Preferred Stock and Series B Preferred Stock shares are not contractually obligated to share the loss.

The following table sets forth the computation of EPS using the two-class method. The dilutive effect of outstanding Series A Preferred Stock, Series B Preferred Stock, the Series A Preferred Stock dividend, and the Series B Preferred Stock dividend is reflected in diluted EPS using the if-converted method and options, restricted shares, and performance shares are reflected using the treasury stock method. For periods of net loss, basic and diluted EPS are the same, as the assumed exercise of Series A Preferred

Stock, Series B Preferred Stock, restricted and performance shares, and stock options are anti-dilutive. (Amounts in millions, except share and per share amounts.)


	Three Months Ended June 30,						Six Months Ended June 30,
	2023			2022			2023			2022
Basic earnings per common share:
Net income	$	48		$	30		$	74		$	23
Less income allocable to Series A Preferred Stock		(4	)		(2	)		(6	)		—
Less income allocable to Series B Preferred Stock		(5	)		(2	)		(6	)		—
Less stock dividend attributable to Series B Preferred Stock		(11	)		(11	)		(22	)		(22	)
Net income attributable to common shareholders	$	28		$	15		$	40		$	1

Weighted average shares outstanding - basic		235,182,839			233,104,873			234,784,799			232,670,986
Income per common share - basic	$	0.12		$	0.06		$	0.17		$	0.01

Diluted earnings per common share:
Net income	$	48		$	30		$	74		$	23
Less income allocable to Series A Preferred Stock		(5	)		(2	)		(6	)		—
Less stock dividend attributable to Series B Preferred Stock		(11	)		(11	)		(22	)		(22	)
Net income attributable to common shareholders - diluted	$	32		$	17		$	46		$	1

Weighted average shares outstanding - basic		235,182,839			233,104,873			234,784,799			232,670,986
Dilutive securities: (1)
Restricted stock units, warrants, and stock options		240,255			297,797			252,885			367,863
Shares issuable upon conversion of Series B Preferred Shares		32,520,000			32,520,000			32,520,000			32,520,000
Shares issuable pursuant to the Series A Preferred Stock dividend (2)		1,618,596			—			809,298			—
Weighted average shares outstanding - diluted		269,561,690			265,922,670			268,366,982			265,558,849
Income per common share - diluted	$	0.12		$	0.06		$	0.17		$	0.01

For all periods presented, 4,000,000 shares of Series A Preferred Stock, which are convertible to the same number of common shares, have been excluded from the calculation of diluted shares, as their inclusion would be anti-dilutive.

For the three months ended June 30, 2023, dilutive securities include common share equivalents which represent the annual dividend, payable in the form of common shares or cash at the Company's sole option, that Series A Preferred Shares would be entitled to receive assuming that the volume weighted average price of the Company’s common shares for the last ten trading days of the period would be the same average price during the last ten trading days of the calendar year. The holders of the Series A Preferred Stock are entitled to receive an annual dividend based on the increase in the market price of the Company’s common stock (the "Annual Dividend Amount"). The Annual Dividend Amount is equal to 20% of the increase in the volume-weighted average market price per share of the Company’s common shares for the last ten trading days of the calendar year, multiplied by 141,194,638 shares. During 2023, the Annual Dividend Amount was calculated based on the appreciation of the Company’s share price over the highest previously used share price of $24.3968.