3. Earnings Per Share

Basic earnings or loss per share attributable to PHH Corporation was computed by dividing Net income or loss attributable to PHH Corporation by the weighted-average number of shares outstanding during the period. Diluted earnings or loss per share attributable to PHH Corporation was computed by dividing Net income or loss attributable to PHH Corporation by the weighted-average number of shares outstanding during the period, assuming all potentially dilutive common shares were issued.

In the nine months ended September 30, 2017, the Company's Board of Directors authorized share repurchases of our common stock of up to $300 million. As part of that authorization, on August 11, 2017, the Company announced the commencement of a modified “Dutch auction” self-tender offer to purchase shares of its common stock for an aggregate amount of up to $266 million in cash representing the remaining authorized amount, with the right to purchase an additional 2% of its outstanding shares for an additional purchase price. Any shares received under the share repurchase program are retired upon receipt and reported as a reduction of shares issued and outstanding as of each settlement date, and the cash paid is recorded as a reduction of stockholders' equity in the Condensed Consolidated Balance Sheets.

Weighted-average common shares outstanding includes the following activity:


•	the repurchase of 2,450,466 common shares for $34 million under an open market program during the nine months ended September 30, 2017, of which 689,502 common shares for $10 million were repurchased during the three months ended September 30, 2017;


•	the repurchase of 18,762,962 common shares for $267 million under a modified "Dutch auction" self-tender offer during September 2017; and


•	the repurchase of 1,508,772 common shares under an open market program during January 2016.

The weighted-average computation of the dilutive effect of potentially issuable shares of Common stock under the treasury stock method excludes the effect of any contingently issuable securities where the contingency has not been met and excludes the effect of securities that would be anti-dilutive. Anti-dilutive securities may include: (i) outstanding stock-based compensation awards representing shares from restricted stock units and stock options and (ii) stock assumed to be issued related to convertible notes.

The following table summarizes the calculations of basic and diluted earnings or loss per share attributable to PHH Corporation and anti-dilutive securities excluded from the computation of diluted shares for the periods indicated:



	Three Months Ended September 30,						Nine Months Ended September 30,
	2017			2016			2017			2016
	(In millions, except share and per share data)
Net loss attributable to PHH Corporation	$	(55	)	$	(27	)	$	(168	)	$	(69	)
Weighted-average common shares outstanding — basic & diluted	48,210,099			53,578,044			51,724,911			53,616,403
Basic and Diluted loss per share attributable to PHH Corporation	$	(1.14	)	$	(0.50	)	$	(3.25	)	$	(1.28	)

Anti-dilutive securities excluded from the computation of diluted shares:
Outstanding stock-based compensation awards ⁽¹⁾	1,006,213			1,971,055			1,006,213			1,971,055

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⁽¹⁾	For the three and nine months ended September 30, 2017, excludes 52,698 shares that are contingently issuable for which the contingency has not been met.