Earnings Per Common Share

3 Months Ended

Mar. 31, 2017

Note 21.

Earnings Per Common Share

Basic earnings per common share (EPS) is calculated by dividing net earnings applicable to common shareholders by the weighted average number of common shares outstanding and RSUs for which no future service is required as a condition to the delivery of the underlying common stock (collectively, basic shares). Diluted EPS includes the determinants of basic EPS and, in addition, reflects the dilutive effect of the common stock deliverable for stock options and for RSUs for which future service is required as a condition to the delivery of the underlying common stock.

The table below presents the computations of basic and diluted EPS.


	Three Months Ended March
in millions, except per share amounts		2017	2016
Net earnings applicable to common shareholders		$2,162	$1,200
Weighted average number of basic shares		412.5	440.8

Effect of dilutive securities:
RSUs		4.7	3.5

Stock options		2.9	3.1
Dilutive securities		7.6	6.6
Weighted average number of basic shares and dilutive securities		420.1	447.4
Basic EPS		$ 5.23	$ 2.71

Diluted EPS		$ 5.15	$ 2.68

In the table above, unvested share-based awards that have non-forfeitable rights to dividends or dividend equivalents are treated as a separate class of securities in calculating EPS. The impact of applying this methodology was a reduction in basic EPS of $0.01 for both the three months ended March 2017 and March 2016.

The diluted EPS computations in the table above do not include antidilutive RSUs and common shares underlying antidilutive stock options of less than 0.1 million for the three months ended March 2017 and 6.1 million for the three months ended March 2016.