Earnings per Share

12 Months Ended

May 31, 2014

Earnings Per Share [Abstract]

Earnings per Share

Earnings per Share

The following table sets forth the computation of basic and diluted earnings per share using the two-class method for amounts attributable to Cintas' common shares:

(In thousands except per share data)	2014		2013		2012
Basic Earnings per Share
Net income	$	374,442	$	315,442	$	297,637
Less: net income allocated to participating securities	3,452		1,896		1,880
Net income allocated to common shareholders	$	370,990	$	313,546	$	295,757
Basic weighted average common shares outstanding	120,377		123,956		129,891
Basic earnings per share	$	3.08	$	2.53	$	2.27

(In thousands except per share data)	2014		2013		2012
Diluted Earnings per Share
Net income	$	374,442	$	315,442	$	297,637
Less: net income allocated to participating securities	3,452		1,896		1,880
Net income allocated to common shareholders	$	370,990	$	313,546	$	295,757
Basic weighted average common shares outstanding	120,377		123,956		129,891
Effect of dilutive securities — employee stock options	1,263		575		142
Diluted weighted average common shares outstanding	121,640		124,531		130,033
Diluted earnings per share	$	3.05	$	2.52	$	2.27

For the fiscal years ended May 31, 2014, 2013 and 2012, options granted to purchase 0.7 million, 0.7 million and 2.0 million shares of Cintas common stock, respectively, were excluded from the computation of diluted earnings per share. The exercise prices of these options were greater than the average market price of the common shares (anti-dilutive).

On October 18, 2011 we announced that the Board of Directors authorized a $500 million share buyback program. This program was completed in April 2014. On July 30, 2013, Cintas announced that the Board of Directors approved an additional share buyback program of $500 million which does not have an expiration date. The following table summarizes the buyback activity by program and fiscal year:

(In thousands except per share data)	2014					2013
Buyback Program	Shares	Avg. Price per Share		Purchase Price		Shares	Avg. Price per Share		Purchase Price
October 18, 2011	3,324	$	48.87	$	162,460	5,075	$	40.97	$	207,932
July 30, 2013	3,341	$	59.72	$	199,500	—	$	—	$	—
	6,665	$	54.31	$	361,960	5,075	$	40.97	$	207,932

In June, 2014, we purchased 0.7 million shares under the July 30, 2013 program at an average price of $62.14 per share for a total purchase price of $45.7 million. Under the July 30, 2013 program, through July 30, 2014 Cintas has purchased a total of 4.1 million shares of Cintas common stock at an average price of $60.15 per share for a total purchase price of $245.2 million.

In addition to the buyback program, Cintas acquired shares of Cintas common stock in trade for employee payroll taxes due on restricted stock awards that vested during the fiscal year. For the fiscal year ended May 31, 2014, Cintas acquired 0.2 million shares at an average price of $50.45 per share for a total purchase price of $8.6 million. For the fiscal year ended May 31, 2013, Cintas acquired 0.2 million shares at an average price of $38.04 per share for a total purchase price of $7.7 million.