EARNINGS PER SHARE (EPS)

3 Months Ended

Mar. 31, 2015

EARNINGS PER SHARE (EPS)

EARNINGS PER SHARE (EPS)

13. EARNINGS PER SHARE (EPS)

The basic EPS computation is based on the weighted average number of common shares outstanding, adjusted to reflect all stock dividends and stock splits. The diluted EPS computation is based on those shares used in the basic EPS computation plus shares that would have been outstanding assuming issuance of common shares for all dilutive potential common shares outstanding, and adjusted to reflect all stock dividends and stock splits.

The following table presents the computation of basic and diluted EPS:

Three Months Ended March 31,
(dollars in millions, except per share data)		2015		2014
Numerator for EPS:
Income from continuing operations	$	2,476	$	1,659
Less: Net income from continuing operations attributable to noncontrolling interests		9		3
Income attributable to AIG common shareholders from continuing operations		2,467		1,656
Income (loss) from discontinued operations		1		(47)
Income (loss) attributable to AIG common shareholders from discontinued operations		1		(47)
Net income attributable to AIG common shareholders	$	2,468	$	1,609
Denominator for EPS:
Weighted average shares outstanding — basic		1,365,951,690		1,459,249,393
Dilutive shares		20,311,859		13,261,420
Weighted average shares outstanding — diluted*		1,386,263,549		1,472,510,813
Income per common share attributable to AIG:
Basic:
Income from continuing operations	$	1.81	$	1.13
Loss from discontinued operations	$	-	$	(0.03)
Net income attributable to AIG	$	1.81	$	1.10
Diluted:
Income from continuing operations	$	1.78	$	1.12
Loss from discontinued operations	$	-	$	(0.03)
Net income attributable to AIG	$	1.78	$	1.09

* Dilutive shares are calculated using the treasury stock method and include dilutive shares from share-based employee compensation plans. The number of shares excluded from diluted shares outstanding was 0.6 and 0.3 million for the three-month periods ended March 31,2015 and 2014, respectively, because the effect of including those shares in the calculation would have been anti-dilutive.