9. Earnings (Loss) Per Share

Basic and diluted earnings (loss) per share were calculated as follows (shares in thousands):

				Quarter ended				Two quarters ended
		July 2, 2022			July 3, 2021			July 2, 2022			July 3, 2021
Basic Earnings (Loss) Per Share
Numerator for basic earnings (loss) per share:
Earnings (loss) from continuing operations	$	2,498		$	(918	)	$	3,152		$	754
Less: dividends and accretion on preferred stock		(760	)		(744	)		(1,515	)		(2,697	)
Earnings (loss) from continuing operations attributable to common shareholders		1,738			(1,662	)		1,637			(1,943	)
Earnings (loss) from discontinued operations		(814	)		-			2,752			-
Earnings (loss) attributable to common shareholders	$	924		$	(1,662	)	$	4,389		$	(1,943	)

Denominator for basic earnings (loss) per share:
Basic weighted-average number of shares outstanding		107,622			105,676			107,510			100,898

Basic earnings (loss) per share:
From continuing operations	$	0.02		$	(0.02	)	$	0.02		$	(0.02	)
From discontinued operations		(0.01	)		-			0.03			-
Basic earnings (loss) per share	$	0.01		$	(0.02	)	$	0.04		$	(0.02	)

Diluted Earnings (Loss) Per Share
Numerator for diluted earnings (loss) per share:
Earnings (loss) from continuing operations	$	2,498		$	(918	)	$	3,152		$	754
Less: dividends and accretion on preferred stock		(760	)		(744	)		(1,515	)		(2,697	)
Earnings (loss) from continuing operations attributable to common shareholders		1,738			(1,662	)		1,637			(1,943	)
Earnings (loss) from discontinued operations		(814	)		-			2,752			-
Earnings (loss) attributable to common shareholders	$	924		$	(1,662	)	$	4,389		$	(1,943	)

Denominator for diluted earnings (loss) per share:
Basic weighted-average number of shares outstanding		107,622			105,676			107,510			100,898
Dilutive effect of the following:
Stock options, restricted stock units and performance share units⁽¹⁾		1,045			-			985			-
Preferred stock⁽²⁾		-			-			-			-
Diluted weighted-average number of shares outstanding		108,667			105,676			108,495			100,898

Diluted earnings (loss) per share:
From continuing operations	$	0.02		$	(0.02	)	$	0.02		$	(0.02	)
From discontinued operations		(0.01	)		-			0.03			-
Diluted earnings (loss) per share	$	0.01		$	(0.02	)	$	0.04		$	(0.02	)

(1) For the quarter and two quarters ended July 2, 2022, stock options and RSUs to purchase or receive 2,544,112 (July 3, 2021 - 263,134) and 2,551,746 (July 3, 2021 - 260,634) potential common shares, respectively, were anti-dilutive because the assumed proceeds exceeded the average market price of the Common Shares for the respective periods. In addition, for the quarter and two quarters ended July 3, 2021, 2,764,865 and 4,317,118 potential common shares, respectively, were excluded from the calculation of diluted loss per share due to their effect of reducing the loss per share. Dilutive potential common shares consist of stock options, RSUs, and certain contingently issuable PSUs.

(2) For the quarter and two quarters ended July 2, 2022 and July 3, 2021, it was more dilutive to assume the Series B-1 preferred stock was not converted into Common Shares and, therefore, the numerator of the diluted earnings (loss) per share calculation was not adjusted to add back the dividends and accretion on the Series B-1 preferred stock and the denominator was not adjusted to include 12,178,667 Common Shares issuable on an if-converted basis as at July 2, 2022 and July 3, 2021.