Earnings Per Share

The treasury stock method of calculating earnings per share (“EPS”) is presented below for the three months ended March 31, 2016 and 2015. The following tables present the computations of basic and diluted EPS:



	Three months ended March 31,
	2016			2015
(In thousands, except share and per share data)
Basic earnings per share - Numerator:
Net income from continuing operations	$	16,887		$	17,918
Less: Net income attributable to noncontrolling interests	911			1,229
Net income from continuing operations attributable to the Company	15,976			16,689
Decrease/ (increase) in noncontrolling interests’ redemption values (1)	580			(94		)
Dividends on preferred stock	(869		)	(869		)
Total adjustments to income attributable to common shareholders (2)	(289		)	(963		)
Net income from continuing operations attributable to common shareholders, treasury stock method (2)	15,687			15,726
Net income from discontinued operations (2)	2,065			2,094
Net income attributable to common shareholders, treasury stock method (2)	$	17,752		$	17,820

Basic earnings per share - Denominator:
Weighted average basic common shares outstanding	81,301,499			80,514,359
Per share data - Basic earnings per share from:
Continuing operations	$	0.19		$	0.19
Discontinued operations	$	0.03		$	0.03
Total attributable to common shareholders	$	0.22		$	0.22



	Three months ended March 31,
	2016		2015
(In thousands, except share and per share data)
Diluted earnings per share - Numerator:
Net income from continuing operations attributable to common shareholders, after assumed dilution (2)	$	15,687	$	15,726
Net income from discontinued operations	2,065		2,094
Net income attributable to common shareholders, after assumed dilution	$	17,752	$	17,820
Diluted earnings per share - Denominator:
Weighted average basic common shares outstanding	81,301,499		80,514,359
Dilutive effect of:
Stock options and performance-based and time-based restricted stock (2), (3)	1,224,325		1,269,211
Warrants to purchase common stock (3)	929,939		1,152,358
Dilutive common shares	2,154,264		2,421,569
Weighted average diluted common shares outstanding (2), (3)	83,455,763		82,935,928
Per share data - Diluted earnings per share from:
Continuing operations	$	0.19	$	0.19
Discontinued operations	$	0.02	$	0.02
Total attributable to common shareholders	$	0.21	$	0.21
Dividends per share declared and paid on common stock	$	0.10	$	0.09

_____________________

(1)

See Part II. Item 8. “Financial Statements and Supplementary Data—Note 14: Noncontrolling Interests” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015 for a description of the redemption values related to the redeemable noncontrolling interests. In accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 480, Distinguishing Liabilities from Equity (“ASC 480”), an increase in redemption value from period to period reduces income attributable to common shareholders. Decreases in redemption value from period to period increase income attributable to common shareholders, but only to the extent that the cumulative change in redemption value remains a cumulative increase since adoption of this standard in the first quarter of 2009.

(2)

The Company presents its EPS based on the treasury stock method. The Company reverted to the treasury stock presentation from the two-class presentation due to the immaterial number of participating shares outstanding as of March 31, 2016. If the EPS presentation had been based on the two-class method, the following adjustments would have been made to the presentation of EPS for the three months ended March 31, 2016. Net income attributable to common shareholders would have been reduced by an additional $4 thousand, and the allocation of net income to participating securities would have been $6 thousand, reducing net income attributable to common shareholders by a total of $10 thousand. Basic EPS would not change. Weighted average diluted shared outstanding would have been reduced by 37,298 shares. Diluted EPS would not change.

If the EPS presentation had been based on the two-class method, the following adjustments would have been made to the presentation of EPS for the three months ended March 31, 2015. Net income attributable to common shareholders would have been reduced by an additional $43 thousand, and the allocation of net income to participating securities would have been $60 thousand, reducing net income attributable to common shareholders by a total of $103 thousand. Basic EPS would not change. Weighted average diluted shared outstanding would have been reduced by 341,603 shares. Diluted EPS would not change.


(3)	The diluted EPS computations for the three months ended March 31, 2016 and 2015 do not assume the conversion, exercise, or contingent issuance of the following shares for the following periods because the result would have been anti-dilutive for the periods indicated. As a result of the anti-dilution, the potential common shares excluded from the diluted EPS computation are as follows:



	Three months ended March 31,
(In thousands)	2016	2015
Shares excluded due to exercise price exceeding the average market price of common shares during the period (total outstanding):
Potential common shares from:
Stock options, restricted stock, or other dilutive securities	387	660
Total shares excluded due to exercise price exceeding the average market price of common shares during the period	387	660