EARNINGS PER COMMON SHARE

6 Months Ended

Aug. 13, 2011

EARNINGS PER COMMON SHARE

EARNINGS PER COMMON SHARE

6. EARNINGS PER COMMON SHARE

Net earnings attributable to The Kroger Co. per basic common share equal net earnings attributable to The Kroger Co. less income allocated to participating securities divided by the weighted average number of common shares outstanding.  Net earnings attributable to The Kroger Co. per diluted common share equal net earnings attributable to The Kroger Co. less income allocated to participating securities divided by the weighted average number of common shares outstanding, after giving effect to dilutive stock options.  The following table provides a reconciliation of net earnings attributable to The Kroger Co. and shares used in calculating net earnings attributable to The Kroger Co. per basic common share to those used in calculating net earnings attributable to The Kroger Co. per diluted common share:

	Second Quarter Ended					Second Quarter Ended
	August 13, 2011					August 14, 2010
	Earnings(Numerator)		Shares(Denominator)	Per ShareAmount		Earnings(Numerator)		Shares(Denominator)	Per ShareAmount
Net earnings attributable to The Kroger Co. per basic common share	$	279	596	$	0.47	$	260	637	$	0.41
Dilutive effect of stock options			4					3
Net earnings attributable to The Kroger Co. per diluted common share	$	279	600	$	0.46	$	260	640	$	0.41

	Year–To-Date					Year-To-Date
	August 13, 2011					August 14, 2010
	Earnings(Numerator)		Shares(Denominator)	Per ShareAmount		Earnings(Numerator)		Shares(Denominator)	Per ShareAmount
Net earnings attributable to The Kroger Co. per basic common share	$	708	603	$	1.17	$	631	640	$	0.99
Dilutive effect of stock options			4					3
Net earnings attributable to The Kroger Co. per diluted common share	$	708	607	$	1.17	$	631	643	$	0.98

The Company had undistributed and distributed earnings to participating securities totaling $2 in both the second quarter of 2011 and 2010.  For each of the first two quarters of 2011 and 2010, the Company had undistributed and distributed earnings to participating securities of $5.

The Company had options outstanding for approximately 11 and 22 shares during the second quarter of 2011 and 2010, respectively, that were excluded from the computations of earnings per diluted common share because their inclusion would have had an anti-dilutive effect on earnings per share.  The Company had options outstanding for approximately 13 and 21 shares during the first two quarters of 2011 and 2010, respectively, that were excluded from the computations of earnings per diluted common share because their inclusion would have had an anti-dilutive effect on earnings per share.