Net Income per Share

9 Months Ended

Sep. 30, 2011

Net Income per Share [Abstract]

Net Income per Share

5. Net Income per Share

     The following table sets forth the computation of basic and diluted income per share for the three and nine months ended September 30 (in thousands, except per share amounts):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2011		2010		2011		2010
Numerator:
Net income attributable to Vicor Corporation	$	1,082	$	15,819	$	8,166	$	22,518
Denominator:
Denominator for basic income per share-weighted average shares (1)		41,810		41,693		41,793		41,682
Effect of dilutive securities:
Employee stock options (2)		41		81		72		60
Denominator for diluted income per share-adjusted weighted-average shares and assumed conversions		41,851		41,774		41,865		41,742
Basic income per share	$	0.03	$	0.38	$	0.20	$	0.54
Diluted income per share	$	0.03	$	0.38	$	0.20	$	0.54

(1)

Denominator represents weighted average number of Common Shares and Class B Common Shares outstanding.

(2)

Options to purchase 366,833 and 292,834 shares of Common Stock for the three months ended September 30, 2011 and 2010, respectively, and options to purchase 259,047 and 407,897 shares of Common Stock for the nine months ended September 30, 2011 and 2010, respectively, were not included in the computation of diluted income per share because the options’ exercise prices were greater than the average market price of the Common Stock and, therefore, the effect would be antidilutive. During the third quarter of 2010, the Company granted 1,243,750 stock options that will vest upon certain performance conditions (See Note 4). The Company did not meet the performance conditions as of September 30, 2011, and therefore, the options were excluded from the calculation of diluted income per share.