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Earnings Per Common Share
 6 Months Ended
Jun. 30, 2025
Earnings Per Share [Abstract]  
Earnings Per Common Share Earnings Per Common Share
The following table provides the computation of basic and diluted earnings per common share (EPS) (in millions, except share and per share amounts):
 Three Months Ended June 30,Six Months Ended June 30,
 2025202420252024
Basic EPS:
Net income$599 $717 $126 $405 
Weighted average common shares outstanding (in thousands)660,127 656,965 659,504 656,406 
Basic EPS$0.91 $1.09 $0.19 $0.62 
Diluted EPS:
Net income$599 $717 $126 $405 
Interest expense on 6.50% convertible senior notes
— 9 — 22 
Net income for purposes of computing diluted EPS$599 $726 $126 $427 
Share computation for diluted EPS (in thousands):
Basic weighted average common shares outstanding660,127 656,965 659,504 656,406 
Dilutive effect of restricted stock unit awards240 723 370 865 
Dilutive effect of certain PSP Warrants and Treasury Loan Warrants— 886 649 1,713 
Assumed conversion of 6.50% convertible senior notes
— 61,728 — 61,728 
Diluted weighted average common shares outstanding660,367 720,302 660,523 720,712 
Diluted EPS$0.91 $1.01 $0.19 $0.59 
The following were excluded from the calculation of diluted EPS because inclusion of such shares would be antidilutive (in thousands):
Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
6.50% convertible senior notes (1)
— — 30,864 — 
Restricted stock unit awards2,012 2,912 1,673 3,112 
(1)On March 27, 2025, we provided notice to the holders of our Convertible Notes that we would settle our Convertible Notes at their upcoming maturity on July 1, 2025, in cash (including any conversions up to a price per share of AAG common stock of approximately $22.00). As a result, for the three months ended June 30, 2025, we have excluded the assumed conversion of the Convertible Notes from the calculation of diluted EPS.
In addition, excluded from the calculation of diluted EPS because inclusion of such shares would be antidilutive, are certain shares underlying the warrants issued pursuant to (i) the payroll support program established under the Coronavirus Aid, Relief, and Economic Security Act (PSP1 Warrants), (ii) the payroll support program established under the Subtitle A of Title IV of Division N of the Consolidated Appropriations Act, 2021 (PSP2 Warrants), (iii) the payroll support program established under the American Rescue Plan Act of 2021 (PSP3 Warrants) and (iv) the Loan and Guarantee Agreement with the U.S. Department of Treasury (Treasury Loan Warrants).
During the first quarter of 2025, all of the PSP1 Warrants and Treasury Loan Warrants, 14.0 million shares and 4.4 million shares, respectively, were exercised at an exercise price of $12.51 per share and net settled in cash for $79 million.
The table below provides a summary of the warrants outstanding as of June 30, 2025:
Warrants
Warrants Issued (shares, in thousands) (1)
Exercise Price ($)Expiration
PSP2 Warrants6,57615.66 January 2026 to April 2026
PSP3 Warrants4,40721.75 April 2026 to June 2026
(1)The PSP2 Warrants and PSP3 Warrants are subject to certain anti-dilution provisions, do not have any voting rights and are freely transferable, with registration rights. Each warrant will be exercisable either through net share settlement or cash, at our option. The warrants were issued solely as compensation to the U.S. Government related to entry into the payroll support program agreements. No separate proceeds (apart from the financial assistance previously received in 2021 and 2020) were received upon issuance of the warrants or will be received upon exercise thereof.