Earnings per Share

9 Months Ended

Jun. 30, 2011

Earnings Per Share [Abstract]

Earnings per Share

Note D: Earnings per Share

We compute basic earnings per share on the basis of the weighted average number of shares of common stock outstanding during the period. We compute diluted earnings per share on the basis of the weighted average number of shares of common stock plus the effect of dilutive potential common shares outstanding during the period using the treasury stock method. Dilutive potential common shares include outstanding stock options and restricted stock awards.

Potential common shares are required to be excluded from the computation of diluted earnings per share if the assumed proceeds upon exercise or vest, as defined by FASB ASC 718-10-25, are greater than the cost to re-acquire the same number of shares at the average market price, and therefore the effect would be anti-dilutive.

Components of basic and diluted earnings per share and excluded anti-dilutive potential common shares are as follows (in thousands except per share amounts):

	Three Months Ended				Nine Months Ended
	June 30,				June 30,
	2011		2010		2011		2010
Net income (A)	$	26,527	$	19,962	$	85,794	$	69,442
Weighted average outstanding shares of common stock (B)		49,926		49,201		49,849		48,969
Dilutive effect of stock options and restricted stock		459		439		443		572
Weighted average common stock and common stock equivalents (C)		50,385		49,640		50,292		49,541
Basic earnings per share (A/B)	$	0.53	$	0.41	$	1.72	$	1.42
Diluted earnings per share (A/C)	$	0.53	$	0.40	$	1.71	$	1.40
Potential common shares excluded from the calculation of diluted earnings per share		—		5		6		6