Earnings Per Common Share

12 Months Ended

Dec. 31, 2020

Earnings Per Common Share. Earnings per common share is computed using the two-class method. Basic earnings per common share is computed by dividing net earnings allocated to common stock by the weighted-average number of common shares outstanding during the applicable period, excluding outstanding participating securities. Participating securities include non-vested stock awards/stock units, deferred stock units and performance stock units (during the performance period), though no actual shares of common stock related to any type of stock unit have been issued. Non-vested stock awards/stock units and deferred stock units are considered participating securities because holders of these securities receive non-forfeitable dividends at the same rate as holders of our common stock. Holders of performance stock units receive dividend equivalent payments for dividends paid during the performance period at the vesting date of the award based upon the number of units that ultimately vest. Diluted earnings per common share is computed using the weighted-average number of shares determined for the basic earnings per common share computation plus the dilutive effect of stock compensation using the treasury stock method.

The following table presents a reconciliation of net income available to common shareholders, net earnings allocated to common stock and the number of shares used in the calculation of basic and diluted earnings per common share.


	2020		2019		2018
Net Income	$	331,151	$	443,599	$	454,918
Less: Preferred stock dividends	2,016		8,063		8,063
Redemption of preferred stock	5,514		—		—
Net income available to common shareholders	323,621		435,536		446,855
Less: Earnings allocated to participating securities	3,136		3,687		3,169
Net earnings allocated to common stock	$	320,485	$	431,849	$	443,686

Distributed earnings allocated to common stock	$	178,863	$	175,540	$	164,268
Undistributed earnings allocated to common stock	141,622		256,309		279,418
Net earnings allocated to common stock	$	320,485	$	431,849	$	443,686

Weighted-average shares outstanding for basic earnings per common share	62,727,053		62,741,769		63,704,508
Dilutive effect of stock compensation	276,784		700,101		982,208
Weighted-average shares outstanding for diluted earnings per common share	63,003,837		63,441,870		64,686,716