20. Stockholders’ Equity

Common Stock The Company announced a $2.5 billion share-repurchase program in September 2017, which was expanded to $3.0 billion in February 2018. The program authorizes the repurchase of the Company’s common stock in the open-market or through private transactions through the end of 2018. In October 2017, Anadarko entered into an ASR Agreement to repurchase $1.0 billion of the Company’s common stock as part of the $3.0 Billion Share-Repurchase Program. Under the terms of the agreement, the Company paid $1.0 billion in cash and received an initial delivery of 15.7 million shares of the Company’s common stock. The initial delivery of shares represented the minimum number of shares to be repurchased under the agreement. Upon completion of the transaction in December 2017, the Company received an additional 5.1 million shares as determined by the volume-weighted average price of the shares during the term less a negotiated settlement price adjustment. During the fourth quarter of 2017, the Company repurchased an additional 1.1 million shares for $59 million through open-market purchases. At December 31, 2017, the Company had repurchased 21.9 million shares for approximately $1.1 billion (average price of $48.33 per share) under an ASR Agreement and through open-market purchases. These transactions were accounted for as equity transactions, with all of the repurchased shares classified as treasury stock. Additionally, the receipt of these shares reduced the average number of shares of common stock outstanding used to compute both basic and diluted earnings per share (EPS).

In February 2018, Anadarko completed a repurchase of 8.5 million shares for $500 million (average price of $58.82 per share) under an additional ASR Agreement.

In September 2016, the Company completed a public offering of 40.5 million shares of its common stock at a price of $53.23 per share. Net proceeds of $2.16 billion from this equity issuance were primarily used to fund the GOM Acquisition, with the remainder used for general corporate purposes. See Note 3—Acquisitions, Divestitures, and Assets Held for Sale. The following summarizes the changes in the Company’s outstanding shares of common stock:



millions	2017	2016	2015
Shares of common stock issued
Shares at January 1	572	528	526
Exercise of stock options	—	1	1
Issuance of common stock	—	41	—
Issuance of restricted stock	2	2	1
Shares at December 31	574	572	528
Shares of common stock held in treasury
Shares at January 1	21	20	19
Purchase of treasury stock	22	—	—
Shares received for restricted stock vested and stock options exercised	—	1	1
Shares at December 31	43	21	20
Shares of common stock outstanding at December 31	531	551	508

20. Stockholders’ Equity (Continued)

Earnings Per Share The Company’s basic EPS is computed based on the average number of shares of common stock outstanding for the period and includes the effect of any participating securities and TEUs as appropriate. Diluted EPS includes the effect of the Company’s outstanding stock options, restricted stock awards, restricted stock units, TEUs, and WES Series A Preferred units, if the inclusion of these items is dilutive.

The following provides a reconciliation between basic and diluted EPS attributable to common stockholders for the years ended December 31:



millions except per-share amounts	2017			2016			2015
Net income (loss)
Net income (loss) attributable to common stockholders	$	(456	)	$	(3,071	)	$	(6,692	)
Income (loss) effect of TEUs	(7		)	(6		)	—
Less distributions on participating securities	1			1			3
Basic	$	(464	)	$	(3,078	)	$	(6,695	)
Income (loss) effect of TEUs	(2		)	(1		)	—
Diluted	$	(466	)	$	(3,079	)	$	(6,695	)
Shares
Average number of common shares outstanding—basic	548			522			508
Average number of common shares outstanding—diluted	548			522			508
Excluded due to anti-dilutive effect	11			11			11
Net income (loss) per common share
Basic	$	(0.85	)	$	(5.90	)	$	(13.18	)
Diluted	$	(0.85	)	$	(5.90	)	$	(13.18	)