Earnings (Loss) Per Share

6 Months Ended

Jun. 30, 2011

Earnings (Loss) Per Share

Earnings (Loss) Per Share

Note 9. Earnings (Loss) Per Share

Basic earnings (loss) per share amounts are based on the weighted average number of common shares outstanding including unvested restricted shares that are considered participating securities. Diluted earnings (loss) per share amounts are based on the weighted average number of common shares including unvested restricted shares and the net effect of potentially dilutive common shares outstanding. The following table outlines the Company’s computation of earnings (loss) per share for the three and six months ended June 30, 2011 and 2010:

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011			2010
Basic and diluted earnings per share numerators (in millions):
Net income (loss) attributable to White Mountains’ common shareholders	$	12.0	$	.7	$	(19.4	)	$	(36.3	)
Dividends declared and paid	—		—		(8.0		)	(8.8		)
Undistributed earnings (loss)	$	12.0	$	.7	$	(27.4	)	$	(45.1	)
Basic earnings per share denominators (in thousands):
Average common shares outstanding during the period	7,886		8,571		7,930			8,656
Average unvested restricted shares (1)	73		100		65			96
Basic earnings (loss) per share denominator	7,959		8,671		7,995			8,752
Diluted earnings per share denominator (in thousands):
Average common shares outstanding during the period	7,886		8,571		7,930			8,656
Average unvested restricted shares (1)	73		100		65			96
Average outstanding dilutive options to acquire common shares (2)	—		—		—			—
Diluted earnings (loss) per share denominator	7,959		8,671		7,995			8,752
Basic earnings per share (in dollars):
Net income (loss) attributable to White Mountains’ common shareholders	$	1.51	$	.08	$	(2.42	)	$	(4.15	)
Dividends declared and paid	—		—		(1.00		)	(1.00		)
Undistributed earnings (loss) per share	$	1.51	$	.08	$	(3.42	)	$	(5.15	)
Diluted earnings per share (in dollars)
Net income (loss) attributable to White Mountains’ common shareholders	$	1.51	$	.08	$	(2.42	)	$	(4.15	)
Dividends declared and paid	—		—		(1.00		)	(1.00		)
Undistributed earnings (loss) per share	$	1.51	$	.08	$	(3.42	)	$	(5.15	)

(1)Restricted shares outstanding vest either in equal annual installments, upon a stated date or upon the occurrence of a specified event (see Note 12).

(2)The diluted earnings (loss) per share denominator for the three and six months ended June 30, 2010 does not include common shares issuable upon exercise of incentive options as they are anti-dilutive to the calculation.