EARNINGS PER SHARE

3 Months Ended

Mar. 31, 2021

Basic earnings per common share is computed by dividing net income by the weighted average number of common shares outstanding during the reportable period. The diluted earnings per share calculation adds to the weighted average number of common shares outstanding: the incremental shares that would have been outstanding assuming the exercise of dilutive stock options, the vesting of unvested restricted shares of common stock, restricted stock units and performance units. An antidilutive impact is an increase in earnings per share or a reduction in net loss per share resulting from the conversion, exercise or contingent issuance of certain securities.

In August 2020, the Company completed an underwritten public offering of 63,250,000 shares of its common stock with an offering price to the public of $2.50 per share. Net proceeds after deducting underwriting discounts and offering expenses were approximately $152 million. See Note 2 for additional details regarding the Company’s use of proceeds from the equity offering.

The following table presents the computation of earnings per share for the three months ended March 31, 2021 and 2020:


	For the three months ended March 31,
(in millions, except share/per share amounts)		2021		2020
Net income (loss)		$	80	$	(1,547)

Number of common shares:
Weighted average outstanding		675,385,145		540,308,491
Issued upon assumed exercise of outstanding stock options		—		—
Effect of issuance of non-vested restricted common stock		870,541		—
Effect of issuance of non-vested restricted units		804,944		—
Effect of issuance of non-vested performance units		2,807,195		—
Weighted average and potential dilutive outstanding		679,867,825		540,308,491

Earnings per common share
Basic		$	0.12	$	(2.86)
Diluted		$	0.12	$	(2.86)

The following table presents the common stock shares equivalent excluded from the calculation of diluted earnings per share for the three months ended March 31, 2021 and 2020, as they would have had an antidilutive effect:


	For the three months ended March 31,
		2021	2020
Unexercised stock options		3,795,091	4,584,563
Unvested share-based payment		—	1,006,860
Restricted stock units		3,987,291	1,312,293
Performance units		—	2,275,498
Total		7,782,382	9,179,214