Net Income (Loss) per Share

The Company applies the two-class method to calculate and present net income (loss) per share. The Company's non-vested restricted share awards and Series B Convertible Preferred Stock held by the BKC Stockholders contain non-forfeitable rights to dividends and are considered participating securities for purposes of computing net income per share pursuant to the two-class method. Under the two-class method, net earnings are reduced by the amount of dividends declared (whether paid or unpaid) and the remaining undistributed earnings are then allocated to common stock and participating securities, based on their respective rights to receive dividends.

Basic net income (loss) per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of shares of common stock outstanding for the reporting period. Diluted net income (loss) per share reflects additional shares of common stock outstanding, where applicable, calculated using the treasury stock method or the two-class method.

The following table sets forth the calculation of basic and diluted net income (loss) per share:



	Year ended
	December 29, 2019			December 30, 2018			December 31, 2017
Basic net income (loss) per share:
Net income (loss)	$	(31,919	)	$	10,104		$	7,159
Less: Income attributable to non-vested shares	—			(178		)	(118		)
Less: Income attributable to preferred stock	—			(2,071		)	(1,479		)
Net income (loss) available to common stockholders	$	(31,919	)	$	7,855		$	5,562
Weighted average common shares outstanding	43,421,715			35,715,372			35,416,531
Basic net income (loss) per share	$	(0.74	)	$	0.22		$	0.16
Diluted net income (loss) per share:
Net income (loss)	$	(31,919	)	$	10,104		$	7,159
Weighted average common shares outstanding	43,421,715			35,715,372			35,416,531
Dilutive effect of preferred stock and non-vested shares	—			9,604,599			9,559,983
Dilutive weighted average common shares outstanding	43,421,715			45,319,971			44,976,514
Diluted net income (loss) per share (1)	$	(0.74	)	$	0.22		$	0.16
Shares excluded from diluted net income (loss) per share computations (2)	11,484,159			—			—


(1)	Diluted net income (loss) per share is equal to basic net income (loss) per share for the periods presented due to the allocation of earnings to participating securities under the two-class method of calculating basic net income (loss) per share causing basic net income (loss) per share to be lower than diluted net income (loss) per share calculated under the treasury-stock method.