Earnings Per Common Share

6 Months Ended

Jun. 30, 2023

9. Earnings Per Common Share

The Company calculates earnings per share using the two-class method. The two-class method allocates net income to each class of common stock and participating security according to common dividends declared and participation rights in undistributed earnings. Participating securities consist of nonvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents.

A summary of the information used in the computation of earnings per common share follows.


	Three Months Ended				Six Months Ended
	June 30,				June 30,
($ in thousands, except per share data)	2023		2022		2023		2022
Numerator:
Net income to common shareholders	$	117,794	$	121,435	$	244,261	$	244,913
Net income allocated to participating securities - basic and diluted		1,224		1,844		2,582		3,762
Net income allocated to common shareholders - basic and diluted	$	116,570	$	119,591	$	241,679	$	241,151
Denominator:
Weighted-average common shares - basic		86,096		86,067	$	86,057	$	86,362
Dilutive potential common shares		274		287		293		292
Weighted-average common shares - diluted		86,370		86,354	$	86,350	$	86,654
Earnings per common share:
Basic	$	1.35	$	1.39	$	2.81	$	2.79
Diluted	$	1.35	$	1.38	$	2.80	$	2.78

Potential common shares consist of stock options, nonvested performance-based awards, nonvested restricted stock units, and restricted share awards deferred under the Company’s nonqualified deferred compensation plan. These potential common shares do not enter into the calculation of diluted earnings per share if the impact would be antidilutive, i.e., increase earnings per share or reduce a loss per share. Potential common shares with weighted averages totaling 239,889 and 111,062 for the three and six months ended June 30, 2023, respectively, and 30,135 and 6,670 for the three and six months ended June 30, 2022, respectively, did not enter the calculation of diluted earnings per share as the impact would have been anti-dilutive.