Earnings per common share

6 Months Ended

Jun. 30, 2019

8. Earnings per common share

The computations of basic earnings per common share follow:

	Three Months Ended June 30						Six Months Ended June 30
	2019			2018			2019			2018
	(In thousands, except per share)

Income available to common shareholders:
Net income	$	473,260			493,160			956,002			845,770
Less: Preferred stock dividends (a)		(18,130	)		(18,130	)		(36,260	)		(36,260	)
Net income available to common equity		455,130			475,030			919,742			809,510
Less: Income attributable to unvested stock-based compensation awards		(2,498	)		(2,432	)		(5,024	)		(4,172	)
Net income available to common shareholders	$	452,632			472,598			914,718			805,338
Weighted-average shares outstanding:
Common shares outstanding (including common stock issuable) and unvested stock-based compensation awards		136,182			145,571			137,403			147,510
Less: Unvested stock-based compensation awards		(749	)		(746	)		(749	)		(764	)
Weighted-average shares outstanding		135,433			144,825			136,654			146,746

Basic earnings per common share	$	3.34			3.26			6.69			5.49

(a)Including impact of not as yet declared cumulative dividends.

The computations of diluted earnings per common share follow:

	Three Months Ended June 30						Six Months Ended June 30
	2019			2018			2019			2018
	(In thousands, except per share)

Net income available to common equity	$	455,130			475,030			919,742			809,510
Less: Income attributable to unvested stock-based compensation awards		(2,497	)		(2,430	)		(5,023	)		(4,168	)
Net income available to common shareholders	$	452,633			472,600			914,719			805,342
Adjusted weighted-average shares outstanding:
Common and unvested stock-based compensation awards		136,182			145,571			137,403			147,510
Less: Unvested stock-based compensation awards		(749	)		(746	)		(749	)		(764	)
Plus: Incremental shares from assumed conversion of stock-based compensation awards and warrants to purchase common stock		31			173			31			195
Adjusted weighted-average shares outstanding		135,464			144,998			136,685			146,941

Diluted earnings per common share	$	3.34			3.26			6.69			5.48

GAAP defines unvested share-based awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) as participating securities that shall be included in the computation of earnings per common share pursuant to the two-class method. The Company has issued stock-based compensation awards in the form of restricted stock and restricted stock units which, in accordance with GAAP, are considered participating securities.

Stock-based compensation awards and warrants to purchase common stock of M&T representing 115,293 and 212,244 common shares during the three-month periods ended June 30, 2019 and 2018, respectively, and 197,598 and 224,844 common shares during the six-month periods ended June 30, 2019 and 2018, respectively, were not included in the computations of diluted earnings per common share because the effect on those periods would have been antidilutive.