NET INCOME PER COMMON SHARE

6 Months Ended

Jun. 30, 2011

Notes To Consolidated Financial Statement Abstract

16. NET INCOME PER COMMON SHARE

The following table sets forth the computation of basic and diluted net income per common share (in thousands, except per share amounts):

	Three Months Ended
	June 30, 2011							June 30, 2010
	Continuing			Discontinued		Net		Continuing		Discontinued		Net
	Operations			Operations		Income		Operations		Operations		Income

BASIC

Net income (loss)	$	34,512	$	(5,729)	$	28,783	$	40,928	$	(4,428)	$	36,500
Less: income (loss) allocated to
participating securities		1,113		-		916		1,355		-		1,206
Net income (loss) available to
common stockholders		33,399		(5,729)		27,867		39,573		(4,428)		35,294
Weighted average number of common
shares outstanding		60,308		60,308		60,308		58,271		58,271		58,271
Basic net income (loss) per
common share	$	0.55	$	(0.09)	$	0.46	$	0.68	$	(0.08)	$	0.61

DILUTED

Net income (loss)	$	34,512	$	(5,729)	$	28,783	$	40,928	$	(4,428)	$	36,500
Less: income (loss) allocated to
participating securities		1,113		-		916		1,355		-		1,206
Net income (loss) available to
common stockholders		33,399		(5,729)		27,867		39,573		(4,428)		35,294
Less:
Undistributed earnings allocated to
unvested stockholders		(987)		-		(796)		(1,263)		-		(1,113)
Add:
Undistributed earnings re-allocated to
unvested stockholders		971		-		783		1,256		-		1,107
Add:
Tax-effected interest expense
related to Old Notes		711		-		711		666		-		666
Net income (loss) assuming dilution	$	34,094	$	(5,729)	$	28,565	$	40,232	$	(4,428)	$	35,954

Weighted average number of common
shares outstanding		60,308		60,308		60,308		58,271		58,271		58,271
Effect of dilutive securities:
Old Notes		5,823		-		5,823		5,823		-		5,823
New Notes		4		-		4		4		-		4
Stock options		1,005		-		1,005		297		-		297
Weighted average number of common
shares assuming dilution		67,140		60,308		67,140		64,395		58,271		64,395
Diluted net income (loss) per
common share	$	0.51	$	(0.09)	$	0.43	$	0.62	$	(0.08)	$	0.56

	Six Months Ended
	June 30, 2011							June 30, 2010
	Continuing			Discontinued		Net		Continuing		Discontinued		Net
	Operations			Operations		Income		Operations		Operations		Income

BASIC

Net income (loss)	$	61,197	$	(13,054)	$	48,143	$	80,946	$	(9,078)	$	71,868
Less: income (loss) allocated to
participating securities		1,905		-		1,469		2,673		-		2,368
Net income (loss) available to
common stockholders		59,292		(13,054)		46,674		78,273		(9,078)		69,500
Weighted average number of common
shares outstanding		59,719		59,719		59,719		58,161		58,161		58,161
Basic net income (loss) per
common share	$	0.99	$	(0.22)	$	0.78	$	1.35	$	(0.16)	$	1.19

DILUTED

Net income (loss)	$	61,197	$	(13,054)	$	48,143	$	80,946	$	(9,078)	$	71,868
Less: income (loss) allocated to
participating securities		1,905		-		1,469		2,673		-		2,368
Net income (loss) available to
common stockholders		59,292		(13,054)		46,674		78,273		(9,078)		69,500
Less:
Undistributed earnings allocated to
unvested stockholders		(1,668)		-		(1,245)		(2,474)		-		(2,170)
Add:
Undistributed earnings re-allocated to
unvested stockholders		1,647		-		1,229		2,461		-		2,159
Add:
Tax-effected interest expense
related to Old Notes		1,376		-		1,376		1,332		-		1,332
Tax-effected interest expense
related to New Notes		1		-		1		1		-		1
Net income (loss) assuming dilution	$	60,648	$	(13,054)	$	48,035	$	79,593	$	(9,078)	$	70,822

Weighted average number of common
shares outstanding		59,719		59,719		59,719		58,161		58,161		58,161
Effect of dilutive securities:
Old Notes		5,823		-		5,823		5,823		-		5,823
New Notes		4		-		4		4		-		4
Stock options		801		-		801		306		-		306
Weighted average number of common
shares assuming dilution		66,347		59,719		66,347		64,294		58,161		64,294
Diluted net income (loss) per
common share	$	0.91	$	(0.22)	$	0.72	$	1.24	$	(0.16)	$	1.10

Diluted net income per common share must be calculated using the “if-converted” method. Diluted net income per share using the “if-converted” method is calculated by adjusting net income for tax-effected net interest on the Old Notes and New Notes, divided by the weighted average number of common shares outstanding assuming conversion.

Unvested share-based payment awards that contain rights to receive nonforfeitable dividends or dividend equivalents (whether paid or unpaid) are participating securities, and thus, are included in the two-class method of computing earnings per share. The two-class method is an earnings allocation formula that treats a participating security as having rights to earnings that would otherwise have been available to common stockholders. Restricted stock granted to certain employees by the Company (see Note 3) participate in dividends on the same basis as common shares, and these dividends are not forfeitable by the holders of the restricted stock. As a result, the restricted stock grants meet the definition of a participating security.

The diluted net income per common share computation for the three months ended June 30, 2011 and 2010 excludes 1,797,876 and 8,027,204 shares of stock, respectively, that represented outstanding stock options whose impact would be anti-dilutive. The diluted net income per common share computation for the six months ended June 30, 2011 and 2010 excludes 3,291,806 and 8,559,315 shares of stock, respectively, that represented outstanding stock options whose impact would be anti-dilutive.

Due to the net loss from discontinued operations during the three and six months ended June 30, 2011 and 2010, diluted earnings per share and basic earnings per share from discontinued operations are the same, as the effect of potentially dilutive securities would be anti-dilutive.