Earnings per share

3 Months Ended

Mar. 31, 2012

Earnings per share

Earnings per share

8 · Earnings per share

Under the two-class method of computing earnings per share (EPS), EPS was comprised as follows for both unvested restricted stock awards and unrestricted common stock:

	2012		2011
Three months ended March 31	Basic and diluted		Basic and diluted
Distributed earnings	$	0.31	$	0.31
Undistributed earnings (loss)	0.09		(0.01		)
	$	0.40	$	0.30

As of March 31, 2012 and 2011, the antidilutive effects of SARs of 210,000 shares and 414,000 shares of HEI common stock, respectively, for which the exercise prices were greater than the closing market price of HEI’s common stock were not included in the computation of diluted EPS.