Earnings per Share

9 Months Ended

Sep. 30, 2022

EARNINGS PER SHARE

Basic earnings per share is based upon the weighted-average number of shares of common stock outstanding. Diluted earnings per share is based upon the weighted-average number of shares of common stock outstanding, plus all potentially dilutive securities that were assumed to be converted into common shares at the beginning of the period under the treasury stock method. This method requires that the effect of potentially dilutive common stock equivalents (stock options, stock-settled appreciation rights (SSARs), restricted stock units, and performance stock units) be excluded from the calculation of diluted earnings per share for the periods in which losses are reported because the effect is anti-dilutive.

The following table sets forth the computation of basic and diluted earnings per share (dollar and share amounts in millions, except per share amounts):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Income from continuing operations	$	129	$	332	$	898	$	1,134
Net loss attributed to noncontrolling interest	—		—		1		1
Income attributed to LP from continuing operations	129		332		898		1,135
Income for discontinued operations, net of income taxes	97		33		196		47
Net income attributed to LP	$	226	$	365	$	1,094	$	1,183

Weighted average common shares outstanding - basic	74		94		80		100
Dilutive effect of employee stock plans	—		—		1		1
Shares used for diluted earnings per share	74		94		80		101
Net income attributed to LP per share - basic:
Continuing operations	$	1.75	$	3.55	$	11.23	$	11.34
Discontinued operations	1.32		0.35		2.45		0.47
Net income attributed to LP per share - basic	$	3.07	$	3.90	$	13.67	$	11.81

Net income attributed to LP per share – diluted:
Continuing operations	$	1.74	$	3.52	$	11.16	$	11.26
Discontinued operations	1.31		0.35		2.43		0.47
Net income attributed to LP per share - diluted	$	3.05	$	3.87	$	13.59	$	11.73