Earnings (Loss) Per Share

3 Months Ended

Aug. 31, 2012

Earnings Per Share [Text Block]

6. Earnings (Loss) Per Share

The following table summarizes the reconciliation of the numerators and denominators for the basic and diluted earnings (loss) per share computation for the three-month periods ended August 31, 2012 and 2011, respectively:

	Three months ended
	August 31, 2012			August 31, 2011
Earnings (loss) from continuing operations attributable to Class A and Common Shares	$	(31.9	)	$	(25.0	)
Earnings (loss) from discontinued operations attributable to Class A and Common Shares, net of tax		(0.1	)		(2.0	)
Net income (loss) attributable to Class A and Common Shares	$	(32.0	)	$	(27.0	)
Weighted average Shares of Class A Stock and Common Stock outstanding for basic earnings (loss) per share (in millions)		31.5			31.0
Dilutive effect of Class A Stock and Common Stock potentially issuable pursuant to stock-based compensation plans (in millions)		*			*
Adjusted weighted average Shares of Class A Stock and Common Stock outstanding for diluted earnings (loss) per share (in millions)		*			*
Earnings (loss) per share of Class A Stock and Common Stock:
Basic earnings (loss) per share:
Earnings (loss) from continuing operations	$	(1.02	)	$	(0.81	)
Earnings (loss) from discontinued operations, net of tax	$	(0.00	)	$	(0.06	)
Net income (loss)	$	(1.02	)	$	(0.87	)
Diluted earnings (loss) per share:
Earnings (loss) from continuing operations	$	(1.02	)	$	(0.81	)
Earnings (loss) from discontinued operations, net of tax	$	(0.00	)	$	(0.06	)
Net income (loss)	$	(1.02	)	$	(0.87	)

* In the three months ended August 31, 2012 and 2011, the Company experienced a loss from continuing operations and therefore did not report any dilutive share impact.

In periods of Net loss, dilutive earnings per share are not reported as the effect of the potentially dilutive shares becomes anti-dilutive.

In a period in which the Company reports a discontinued operation, Earnings (loss) from continuing operations is used as the “control number” in determining whether potentially dilutive common shares are dilutive or anti-dilutive.

A portion of the Company’s restricted stock units (“RSUs”) which are granted to employees participate in earnings through cumulative non-forfeitable dividends payable to the employees upon vesting of the RSUs. Accordingly, the Company measures earnings per share based upon the two-class method.

Loss from continuing operations exclude losses of less than $0.1 for the three months ended August 31, 2012 and 2011, respectively, for earnings attributable to participating RSUs.

Potentially dilutive shares outstanding pursuant to compensation plans that were not included in the diluted earnings per share calculation because they were anti-dilutive were 2.8 million and 4.5 million for the three months ended August 31, 2012 and 2011, respectively. Options outstanding pursuant to compensation plans were 5.1 million and 6.0 million as of August 31, 2012 and 2011, respectively.

As of August 31, 2012, $31.4 remains available for future purchases of common shares under the current repurchase authorization of the Board of Directors. See Note 12, “Treasury Stock,” for a more complete description of the Company’s share buy-back program.