Earnings per Common Share

6 Months Ended

Jun. 30, 2016

Note 3. Earnings per Common Share

Basic earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding for the period.

Diluted earnings per common share reflects the potential dilution that could occur if convertible securities, or other contracts to issue common stock, were exercised or converted into common stock. Dilutive securities are included in the calculation of diluted earnings per common share using the treasury stock method and the if-converted method in accordance with Accounting Standards Codification ("ASC") Topic 260, “Earnings per Share.” Dilutive securities include convertible notes, options granted pursuant to the Company’s stock option plans and outstanding restricted stock units and performance share units granted to employees and non-employee directors (see Note 10).

Weighted-average common shares outstanding—diluted is the same as weighted-average common shares outstanding—basic in periods when a net loss is reported or in periods when anti-dilution occurs.

The following table summarizes the computation of basic and diluted earnings per share (in thousands, except per share data):



	Three Months Ended June 30,				Six Months Ended June 30,
	2016		2015		2016		2015
Earnings per common share—basic
Net income	$	34,105	$	12,818	$	72,495	$	48,637
Weighted-average common shares outstanding—basic	94,029		78,395		93,990		78,076
Basic earnings per common share	$	0.36	$	0.16	$	0.77	$	0.62
Earnings per common share—diluted
Net income	$	34,105	$	12,818	$	72,495	$	48,637
Interest on convertible debt	—		1,260		—		2,506
Net income including assumed conversions	$	34,105	$	14,078	$	72,495	$	51,143

Weighted-average common shares outstanding—basic	94,029		78,395		93,990		78,076
Convertible notes weighted-average shares outstanding	—		15,000		—		15,000
Options and restricted stock	1,864		1,518		1,668		1,330
Weighted-average common shares outstanding—diluted	95,893		94,913		95,658		94,406
Dilutive earnings per common share	$	0.36	$	0.15	$	0.76	$	0.54

For the three months ended June 30, 2016 and 2015, securities outstanding totaling approximately 309,000 and 565,000 shares, respectively, comprised of stock options and restricted stock units, have been excluded from the calculation of earnings per common share—diluted as their effect would be antidilutive. For the six months ended June 30, 2016 and 2015, securities outstanding totaling approximately 361,000 and 605,000 shares, respectively, comprised of stock options and restricted stock units, have been excluded from the calculation of earnings per common share—diluted as their effect would be antidilutive.