EARNINGS PER SHARE

3 Months Ended

Sep. 28, 2016

Basic net income per share is computed by dividing net income by the weighted average number of common shares outstanding for the reporting periods. Diluted net income per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. For the calculation of diluted net income per share, the basic weighted average number of shares is increased by the dilutive effect of stock options and restricted share awards determined using the treasury stock method. Stock options and restricted share awards with an anti-dilutive effect are not included in the diluted net income per share calculation.

Basic weighted average shares outstanding is reconciled to diluted weighted average shares outstanding as follows (in thousands):



	Thirteen Week Periods Ended
	September 28, 2016	September 23, 2015
Basic weighted average shares outstanding	54,844	60,225
Dilutive stock options	246	400
Dilutive restricted shares	486	583
	732	983
Diluted weighted average shares outstanding	55,576	61,208

Awards excluded due to anti-dilutive effect on diluted net income per share	1,027	357