Earnings per Share

12 Months Ended

Dec. 31, 2012

Earnings Per Share [Abstract]

Earnings Per Share

Earnings per Share

The basic and diluted earnings per share (“EPS”), and the basic and diluted weighted average shares outstanding for all periods as presented in the accompanying Consolidated Statements of Income are shown below :

	For the year ended December 31,
	(In thousands, except per share amounts)
Earnings per share:	2012		2011		2010
Basic earnings per common share	$	1.91	$	1.89	$	1.69
Diluted earnings per common share	$	1.80	$	1.75	$	1.51
Basic weighted average shares outstanding	36,948		37,742		34,845
Diluted weighted average shares outstanding	39,100		40,889		39,018

To calculate diluted earnings per share, interest expense related to convertible debt excluding imputed interest, was added back to net income as follows:

	For the year ended December 31,
	(in thousands, except per share amounts)
	2012		2011		2010
Net income	$	70,569	$	71,378	$	59,019
Convertible debt interest (excludes imputed interest)	—		—		10
Net income for diluted earnings per share purposes	$	70,569	$	71,378	$	59,029
Diluted shares outstanding	39,100		40,889		39,018
Diluted earnings per common share	$	1.80	$	1.75	$	1.51

Basic EPS is equal to net income divided by the weighted average number of shares of common stock outstanding for the period. Diluted EPS takes into consideration common stock equivalents which for the Company consist of stock options, restricted stock, and convertible debt. With respect to stock options, diluted EPS is calculated as if the Company had additional common stock outstanding from the beginning of the year or the date of grant or issuance, net of assumed repurchased shares using the treasury stock method. With respect to convertible debt, diluted EPS is calculated as if the debt instrument had been converted at the beginning of the reporting period or the date of issuance, whichever is later. Diluted EPS is equal to net income plus interest expense on convertible debt, divided by the combined sum of the weighted average number of shares outstanding and common stock equivalents. At December 31, 2012, 2011, 2010 there were 90,000, 90,000, and 0 potentially issuable shares with respect to stock options which could dilute EPS in the future but which were excluded from the diluted EPS calculation because presently their effect is anti-dilutive. Diluted shares outstanding determined as follows for each years ending December 31, 2012, 2011, and 2010.

	For the year ended December 31,
	(in thousands)
	2012	2011	2010
Basic weighted average shares outstanding	36,948	37,742	34,845
Incremental shares for common stock equivalents	2,152	3,147	4,173
Diluted shares outstanding	39,100	40,889	39,018