Net Income Per Common Share

12 Months Ended

Dec. 31, 2011

Net Income Per Common Share [Abstract]

Net Income Per Common Share

Note 8—Net Income per Common Share

Basic net income per common share is computed by dividing net income by the weighted average number of common shares outstanding during the period. Diluted net income per common share is calculated using the weighted average number of common shares outstanding adjusted to include the effect, if dilutive, of the exercise of in-the-money stock options, PSUs, Performance-based RSUs and Time-based RSUs.

A reconciliation of the denominators of the basic and diluted net income per common share computations is as follows:

	For the Years Ended
(in thousands)	December 31, 2011		January 1, 2011		January 2, 2010
Weighted average number of shares outstanding—basic		94,241		85,588		74,207
Dilutive effect of stock options		33		191		267
Dilutive effect of PSUs		—		161		741
Dilutive effect of Performance-based RSUs		727		96		—
Dilutive effect of Time-based RSUs		—		149		—
Adjusted weighted average number of shares outstanding—diluted		95,001		86,185		75,215

At December 31, 2011, options to purchase 284,000 (January 1, 2011—704,000; January 2, 2010—830,650) shares of common stock at a weighted average exercise price of C$20.47 (January 1, 2011—C$16.67; January 2, 2010—C$18.97) per share were outstanding, of which 209,000 (January 1, 2011—354,000; January 2, 2010—439,441) were not included in the computation of diluted net income per share because the options' exercise price was greater than the average market price of the common shares. Shares purchased on the open market and held by independent trusts are categorized as treasury shares under applicable accounting rules. We excluded 674,397 (January 1, 2011—1,051,000; January 2, 2010—1,503,763) treasury shares held in various trusts in the calculation of basic and diluted earnings per share.