Earnings Per Share

12 Months Ended

Jul. 02, 2016

Accounting guidance for participating securities and the two-class method, addresses whether awards granted in unvested share-based payment transactions that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and therefore are included in computing earnings per share under the two-class method. Participating securities are securities that may participate in dividends with common stock and the two-class method is an earnings allocation formula that treats a participating security as having rights to earnings that would otherwise have been available to common shareholders. Under the two-class method, earnings for the period are allocated between common shareholders and other shareholders, based on their respective rights to receive dividends. Certain restricted stock awards granted under our equity plans are considered participating securities as these awards receive non-forfeitable dividends at the same rate as common stock.



	For the Fiscal Years
	2016			2015			2014
Net income from continuing operations	$	72,439		$	59,870		$	56,065
Less: Income allocable to participating securities	(1,025		)	(713		)	(610		)
Net income from continuing operations available to common stockholders	71,414			59,157			55,455
Net loss from discontinued operations	—			—			(8,393		)
Net income available to common stockholders	$	71,414		$	59,157		$	47,062
Basic earnings per share (shares in thousands):
Weighted average shares outstanding, basic	19,586			19,676			19,568
Basic earnings (loss) per common share:
From continuing operations	$	3.65		$	3.01		$	2.83
From discontinued operations	$	—		$	—		$	(0.43	)
Basic earnings per share	$	3.65		$	3.01		$	2.41
Diluted earnings per share (shares in thousands):
Weighted average shares outstanding, basic	19,586			19,676			19,568
Weighted average effect of non-vested restricted stock grants and assumed exercise of stock options	222			371			373
Weighted average shares outstanding, diluted	19,808			20,047			19,941
Diluted earnings (loss) per common share:
From continuing operations	$	3.61		$	2.95		$	2.78
From discontinued operations	$	—		$	—		$	(0.42	)
Diluted earnings per share	$	3.61		$	2.95		$	2.36

We excluded potential common shares related to our outstanding equity compensation grants of 73,000, 74,000 and 88,000 from the computation of diluted earnings per share for fiscal years 2016, 2015 and 2014, respectively. Inclusion of these shares would have been anti-dilutive.