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Earnings Per Share
 6 Months Ended
Jun. 01, 2013
Earnings per Share Abstract  
Earnings Per Share Disclosure
Note 4: Earnings Per Share       
        
A reconciliation of the common share components for the basic and diluted earnings per share calculations follows:
        
 13 Weeks Ended 26 Weeks Ended
 June 1, June 2, June 1, June 2,
(Shares in thousands)2013 2012 2013 2012
Weighted-average common shares - basic 49,935  49,652  49,876  49,509
Equivalent shares from share-based compensations plans 1,217  1,070  1,214  979
Weighted-average common and common equivalent shares - diluted 51,152  50,722  51,090  50,488

Basic earnings per share is calculated by dividing net income attributable to H.B. Fuller by the weighted-average number of common shares outstanding during the applicable period. Diluted earnings per share is based upon the weighted-average number of common and common equivalent shares outstanding during the applicable period. The difference between basic and diluted earnings per share is attributable to share-based compensation awards. We use the treasury stock method to calculate the effect of outstanding shares, which computes total employee proceeds as the sum of (a) the amount the employee must pay upon exercise of the award, (b) the amount of unearned share-based compensation costs attributed to future services and (c) the amount of tax benefits, if any, that would be credited to additional paid-in capital assuming exercise of the award. Share-based compensation awards for which total employee proceeds exceed the average market price over the applicable period have an antidilutive effect on earnings per share, and accordingly, are excluded from the calculation of diluted earnings per share.

 

Our June 1, 2013 and March 2, 2013 stock prices were higher than any of our stock option grant prices at that time, therefore no option shares were excluded from the diluted earnings per share calculations for the first two quarters of 2013. Options to purchase 4,652 shares of common stock at a weighted-average exercise price of $32.32 for the 13 weeks and 26 weeks ended June 2, 2012, were excluded from the diluted earnings per share calculations because they were antidilutive.