EARNINGS PER COMMON SHARE

6 Months Ended

Aug. 15, 2015

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 15, 2015					August 16, 2014
	Earnings (Numerator)		Shares (Denominator)	Per Share Amount		Earnings (Numerator)		Shares (Denominator)	Per Share Amount
Net earnings attributable to The Kroger Co. per basic common share	$	429	963	$	0.44	$	343	970	$	0.35
Dilutive effect of stock options			14					12
Net earnings attributable to The Kroger Co. per diluted common share	$	429	977	$	0.44	$	343	982	$	0.35

	Two Quarters Ended					Two Quarters Ended
	August 15, 2015					August 16, 2014
	Earnings (Numerator)		Shares (Denominator)	Per Share Amount		Earnings (Numerator)		Shares (Denominator)	Per Share Amount
Net earnings attributable to The Kroger Co. per basic common share	$	1,042	966	$	1.08	$	840	988	$	0.85
Dilutive effect of stock options			15					12
Net earnings attributable to The Kroger Co. per diluted common share	$	1,042	981	$	1.06	$	840	1,000	$	0.84

The Company had combined undistributed and distributed earnings to participating securities totaling $4 in the second quarters of 2015 and 2014.  For the first two quarters of 2015 and 2014, the Company had combined undistributed and distributed earnings to participating securities of $10 and $8, respectively.

The Company had options outstanding for approximately 2 million and 3 million shares during the second quarters of 2015 and 2014, respectively, that were excluded from the computations of net earnings per diluted common share because their inclusion would have had an anti-dilutive effect on net earnings per share.  The Company had options outstanding for approximately 1 million shares in the first two quarters of 2015 and 3 million shares in the first two quarters of 2014 that were excluded from the computations of net earnings per diluted common share because their inclusion would have had an anti-dilutive effect on earnings per share.