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Net Income per Common Share
 12 Months Ended
Jul. 31, 2015
Earnings Per Share [Abstract]  
Net Earnings per Common Share
Net Earnings (Loss) per Common Share
Net earnings (loss) per common share is computed by dividing net earnings (loss) (after deducting restricted stock dividends and the applicable preferential Class A Common Stock dividends) by the weighted average Common Shares outstanding of 51,285 for fiscal 2015, 51,866 for fiscal 2014, and 51,330 for fiscal 2013. The Company utilizes the two-class method to calculate earnings per share.
In June 2008, the Financial Accounting Standards Board (“FASB”) issued accounting guidance addressing whether instruments granted in share-based payment transactions are participating securities prior to vesting, and therefore, need to be included in the earnings allocation in computing earnings per share. This guidance requires that all outstanding unvested share-based payment awards that contain rights to non-forfeitable dividends be considered participating securities in undistributed earnings with common shareholders. The Company adopted the guidance during the first quarter of fiscal 2010. As a result, the dividends on the Company’s performance-based restricted shares are reconciling items in the basic and diluted earnings per share calculations for the respective periods presented.







Reconciliations of the numerator and denominator of the basic and diluted per share computations for the Company’s Class A and Class B common stock are summarized as follows:
 
Years ended July 31,
 
2015
 
2014
 
2013
Numerator: (in thousands)
 
 
 
 
 
Earnings (loss) from continuing operations
$
4,902

 
$
(48,146
)
 
$
(138,257
)
Less:
 
 
 
 
 
Restricted stock dividends
—

 
(92
)
 
(238
)
Numerator for basic and diluted earnings (loss) from continuing operations per Class A Nonvoting Common Share
$
4,902

 
$
(48,238
)
 
$
(138,495
)
Less:
 
 
 
 
 
Preferential dividends
(794
)
 
(813
)
 
(797
)
Preferential dividends on dilutive stock options
(1
)
 
(6
)
 
(5
)
Numerator for basic and diluted earnings (loss) from continuing operations per Class B Voting Common Share
$
4,107

 
$
(49,057
)
 
$
(139,297
)
Denominator: (in thousands)
 
 
 
 
 
Denominator for basic earnings from continuing operations per share for both Class A and Class B
51,285

 
51,866

 
51,330

Plus: Effect of dilutive stock options
98

 
—

 
—

Denominator for diluted earnings from continuing operations per share for both Class A and Class B
51,383

 
51,866

 
51,330

Earnings (loss) from continuing operations per Class A Nonvoting Common Share:
 
 
 
 
 
Basic
$
0.10

 
$
(0.93
)
 
$
(2.70
)
Diluted
$
0.10

 
$
(0.93
)
 
$
(2.70
)
Earnings (loss) from continuing operations per Class B Voting Common Share:
 
 
 
 
 
Basic
$
0.08

 
$
(0.95
)
 
$
(2.71
)
Diluted
$
0.08

 
$
(0.95
)
 
$
(2.71
)
(Loss) earnings from discontinued operations per Class A Nonvoting Common Share:
 
 
 
 
 
Basic
$
(0.04
)
 
$
0.04

 
$
(0.32
)
Diluted
$
(0.04
)
 
$
0.04

 
$
(0.32
)
(Loss) earnings from discontinued operations per Class B Voting Common Share:
 
 
 
 
 
Basic
$
(0.04
)
 
$
0.05

 
$
(0.32
)
Diluted
$
(0.04
)
 
$
0.05

 
$
(0.32
)
Net earnings (loss) per Class A Nonvoting Common Share:
 
 
 
 
 
Basic
$
0.06

 
$
(0.89
)
 
$
(3.02
)
Diluted
$
0.06

 
$
(0.89
)
 
$
(3.02
)
Net earnings (loss) per Class B Voting Common Share:
 
 
 
 
 
Basic
$
0.04

 
$
(0.90
)
 
$
(3.03
)
Diluted
$
0.04

 
$
(0.90
)
 
$
(3.03
)


Options to purchase approximately 3,568,264 shares of Class A Nonvoting Common Stock for the fiscal year ended July 31, 2015 were not included in the computation of diluted net earnings (loss) per share as the impact of the inclusion of the options would have been anti-dilutive. In accordance with ASC 260, “Earnings per Share,” all options to purchase Class A Nonvoting Common Stock were not included in the computation of diluted loss per share for fiscal 2014 and 2013 since to do so would be anti-dilutive.