Earnings (Loss) Per Common Share

6 Months Ended

Jun. 30, 2022

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


	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Basic EPS:
Net income (loss)	$	476	$	19	$	(1,159)	$	(1,231)
Weighted average common shares outstanding (in thousands)	650,346		644,123		649,925		639,366
Basic EPS	$	0.73	$	0.03	$	(1.78)	$	(1.92)

Diluted EPS:
Net income (loss)	$	476	$	19	$	(1,159)	$	(1,231)
Interest expense on 6.50% convertible senior notes	11		—		—		—
Net income (loss) for purposes of computing diluted EPS	$	487	$	19	$	(1,159)	$	(1,231)
Share computation for diluted EPS (in thousands):
Basic weighted average common shares outstanding	650,346		644,123		649,925		639,366
Dilutive effect of stock awards	1,477		1,944		—		—
Dilutive effect of warrants	4,981		10,305		—		—
Assumed conversion of 6.50% convertible senior notes	61,728		—		—		—
Diluted weighted average common shares outstanding	718,532		656,372		649,925		639,366
Diluted EPS	$	0.68	$	0.03	$	(1.78)	$	(1.92)

Securities which were excluded from the calculation of diluted EPS because inclusion of such shares would be antidilutive, are as follows (in thousands):


	Three Months Ended June 30,		Six Months Ended June 30,
	2022	2021	2022	2021
6.50% convertible senior notes	—	61,728	61,728	61,728
Restricted stock unit awards	4,521	1,182	4,965	3,191
PSP1 Warrants (1)	—	—	3,610	5,632
Treasury Loan Warrants (2)	—	—	1,127	1,755
PSP2 Warrants (3)	—	—	456	1,242
PSP3 Warrants (4)	—	—	—	34

(1)Pursuant to the payroll support program established under the CARES Act (PSP1), AAG issued to Treasury warrants (PSP1 Warrants) to purchase up to an aggregate of approximately 14.0 million shares of AAG common stock for an exercise price of $12.51 per share, subject to adjustment.

(2)Pursuant to the Loan and Guarantee Agreement with Treasury (the Treasury Loan Agreement), AAG issued to Treasury warrants (Treasury Loan Warrants) to purchase up to an aggregate of approximately 4.4 million shares of AAG common stock for an exercise price of $12.51 per share, subject to adjustment.

(3)Pursuant to PSP2, AAG issued to Treasury warrants (PSP2 Warrants) to purchase up to an aggregate of approximately 6.6 million shares of AAG common stock for an exercise price of $15.66 per share, subject to adjustment.

(4)Pursuant to PSP3, AAG issued to Treasury warrants (PSP3 Warrants) to purchase up to an aggregate of approximately 4.4 million shares of AAG common stock for an exercise price of $21.75 per share, subject to adjustment.