EARNINGS PER SHARE

12 Months Ended

Sep. 30, 2011

10. EARNINGS PER SHARE:

The information used to compute earnings per share attributable to Matthews' common shareholders was as follows:

	2011		2010		2009
Net income attributable to Matthews shareholders	$	72,372	$	69,057	$	57,732
Less: dividends and undistributed earnings allocated to participating securities		1,420		1,016		522
Net income available to Matthews shareholders	$	70,952	$	68,041	$	57,210

Weighted-average shares outstanding (in thousands):
Basic shares		28,775		29,656		30,245
Effect of dilutive securities:
Stock options		17		25		37
Phantom stock units		20		25		36
Diluted shares		28,812		29,706		30,318

Options to purchase 289,502, 802,189 and 764,650 shares of common stock were not included in the computation of diluted earnings per share for the years ended September 30, 2011, 2010 and 2009, respectively, because the inclusion of these options would be anti-dilutive.