Earnings per Common Share

9 Months Ended

Sep. 30, 2015

Earnings Per Common Share

Basic and diluted earnings per common share for the three and nine months ended September 30, 2015 and 2014 were calculated as follows:



	Three Months Ended September 30,					Nine Months Ended September 30,
	2015			2014		2015		2014
	(Dollars in millions, except per share amounts, shares in thousands)
Income (Numerator):
Net income	$	205		188		540		584
Earnings applicable to non-vested restricted stock	—			—		—		—
Net income applicable to common stock for computing basic earnings per common share	205			188		540		584
Net income as adjusted for purposes of computing diluted earnings per common share	$	205		188		540		584
Shares (Denominator):
Weighted average number of shares:
Outstanding during period	559,991			570,545		563,391		573,661
Non-vested restricted stock	(5,094		)	(4,580	)	(4,889	)	(4,189	)
Weighted average shares outstanding for computing basic earnings per common share	554,897			565,965		558,502		569,472
Incremental common shares attributable to dilutive securities:
Shares issuable under convertible securities	10			10		10		10
Shares issuable under incentive compensation plans	249			1,457		781		1,158
Number of shares as adjusted for purposes of computing diluted earnings per common share	555,156			567,432		559,293		570,640
Basic earnings per common share	$	0.37		0.33		0.97		1.03
Diluted earnings per common share	$	0.37		0.33		0.97		1.02

Our calculation of diluted earnings per common share excludes shares of common stock that are issuable upon exercise of stock options when the exercise price is greater than the average market price of our common stock during the periods reflected in the table above. Such potentially issuable shares averaged 3.1 million and 2.1 million for the three months ended September 30, 2015 and 2014, respectively, and averaged 2.5 million for both the nine months ended September 30, 2015 and 2014.