5.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 18, 2018					August 12, 2017
				Per					Per
	Earnings		Shares	Share		Earnings		Shares	Share
	(Numerator)		(Denominator)	Amount		(Numerator)		(Denominator)	Amount
Net earnings attributable to The Kroger Co. per basic common share	$	502	797	$	0.63	$	350	897	$	0.39
Dilutive effect of stock options			8					8

Net earnings attributable to The Kroger Co. per diluted common share	$	502	805	$	0.62	$	350	905	$	0.39


	Two Quarters Ended					Two Quarters Ended
	August 18, 2018					August 12, 2017
				Per					Per
	Earnings		Shares	Share		Earnings		Shares	Share
	(Numerator)		(Denominator)	Amount		(Numerator)		(Denominator)	Amount
Net earnings attributable to The Kroger Co. per basic common share	$	2,507	821	$	3.05	$	651	907	$	0.72
Dilutive effect of stock options			8					10

Net earnings attributable to The Kroger Co. per diluted common share	$	2,507	829	$	3.03	$	651	917	$	0.71

The Company had combined undistributed and distributed earnings to participating securities totaling $6 and $3 in the second quarter of 2018 and 2017, respectively. For the first two quarters of 2018 and 2017, the Company had combined undistributed and distributed earnings to participating securities of $27 and $5, respectively.

The Company had options outstanding for approximately 10 million and 14 million shares during the second quarter of 2018 and 2017, 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 17 million shares during the first two quarters of 2018 and 10 million shares is the first two quarters of 2017 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.