EX-99.6 3 h04956exv99w6.htm EX-99.6 COMPUTATION OF EARNINGS PER SHARE Ex-99.6
EXHIBIT 6
PHILIPPINE LONG DISTANCE TELEPHONE COMPANY
Computation of Earnings Per Share
For the years 2006 through 2010
                                                 
    2010(1)     2010     2009     2008     2007     2006  
   
    (in millions, except earnings per common share)  
Earnings per share for the year attributable to common equity holders of PLDT
                                                
Basic
                                                
 
Net income attributable to equity holders of PLDT
   US$ 918       Php40,217       Php39,781       Php34,317       Php39,289       Php32,385  
Add (Deduct): Dividends on preferred shares
     (10 )     (458 )     (457 )     (455 )     (457 )     (455 )
 
Consolidted net income attributable to common shareholders
   US$ 908       Php39,759       Php39,324       Php33,862       Php38,832       Php31,930  
 
Diluted
                                                
Net income attributable to equity holders of PLDT
   US$ 918       Php40,217       Php39,781       Php34,317       Php39,289       Php32,385  
Add (Deduct): Dividends on preferred shares
     (10 )     (458 )     (457 )     (455 )     (457 )     (455 )
Dividends on dilutive preferred stock subject to mandatory redemption charged to interest expense for the year
     —       —       —       —       17       —  
Accretion to redemption value of preferred stock subject to mandatory conversion
     —       —       —       —       131       —  
Foreign exchange gains on preferred stock subject to mandatory conversion
             —       —       —       (182 )     —  
 
Consolidated net income applicable to common shareholders
   US$ 908       Php39,759       Php39,324       Php33,862       Php38,798       Php31,930  
 
Basic
                                                
Weighted average number of common shares (in thousands)
                                                
Outstanding common shares at beginning of year
             186,797       187,484       188,741       188,435       180,789  
Effect of issuance of common shares during the year
             —       15       542       221       3,667  
Effect of purchase of treasury stock during the year
             (7 )     (583 )     (1,120 )     —       —  
 
 
             186,790       186,916       188,163       188,656       184,456  
 
Diluted
                                                
Weighted average number of common shares (in thousands)
                                                
Outstanding common shares at beginning of year
             186,797       187,484       188,741       188,435       180,789  
Effect of issuance of common shares during the year
             —       15       542       221       3,667  
Average incremental number of shares under ESOP(2)
             (7 )     21       13       38       98  
Effect of purchase of treasury stock during the year
             —       (583 )     (1,120 )     —       —  
Common shares equivalent of preferred shares deemed dilutive: Preferred stock Series VI
             —       —       —       680       —  
 
 
             186,790       186,937       188,176       189,374       184,554  
 
Earnings per share for the year
                                                
Basic
     Php4.86       Php212.85       Php210.38       Php179.96       Php205.84       Php173.10  
Diluted
     4.86       212.85       210.36       179.95       204.88       173.01  
 
 
(1)   We maintain our accounts in Philippine pesos, the functional and presentation currency under IFRS. For convenience, the Philippine peso financial information as at and for the year ended December 31, 2010 has been translated into U.S. dollars at the exchange rate of Php43.81 to US$1.00, the Philippine peso-dollar rate as quoted through the Philippine Dealing System as at December 31, 2010.
 
(2)   The dilutive effect of the outstanding options is reflected as additional share dilution in the computation of earnings per common share, see Note 7 — Earnings per Common Share to the accompanying consolidated financial statements in Item 18 for further discussion.

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