16.	Earnings Per Share

The following table provides a reconciliation of net income (loss) from continuing operations and the number of common shares used in the computations of “basic” earnings per share (“EPS”), which utilizes the weighted-average number of common shares outstanding without regard to dilutive potential common shares, and “diluted” EPS, which includes all such shares (in thousands, except per share amounts):

	For the Year Ended December 31,
	2014			2013			2012
Numerators – Basic and Diluted
Continuing Operations:
Income from continuing operations	$	21,107		$	21,419		$	28,172
Plus: Gain on disposition of real estate		3,060			467			5,863
Plus: Income (loss) attributable to non-controlling interests		2,356			(640	)		(348	)
Write-off of preferred share original issuance costs		(1,943	)		(5,246	)		(5,804	)
Preferred dividends		(24,054	)		(27,721	)		(28,645	)
Less: Earnings attributable to unvested shares and operating partnership units		(1,684	)		(1,367	)		(1,114	)
Loss from continuing operations		(1,158	)		(13,088	)		(1,876	)
Discontinued Operations:
Income (loss) from discontinued operations		89,398			(31,267	)		(59,364	)
Plus: Income (loss) attributable to non-controlling interests		1,361			(154	)		(145	)
Net income (loss) attributable to common shareholders after allocation to participating securities	$	89,601		$	(44,509	)	$	(61,385	)
Denominators – Number of Shares
Basic and Diluted – Average shares outstanding		358,122			326,426			291,726
Basic Earnings Per Share:
Loss from continuing operations attributable to common shareholders	$	0.00		$	(0.04	)	$	(0.01	)
Income (loss) from discontinued operations attributable to common shareholders		0.25			(0.10	)		(0.20	)
Net income (loss) attributable to common shareholders	$	0.25		$	(0.14	)	$	(0.21	)
Diluted Earnings Per Share:
Loss from continuing operations attributable to common shareholders	$	0.00		$	(0.04	)	$	(0.01	)
Income (loss) from discontinued operations attributable to common shareholders		0.25			(0.10	)		(0.20	)
Net income (loss) attributable to common shareholders	$	0.25		$	(0.14	)	$	(0.21	)

Basic average shares outstanding do not include restricted shares totaling 1.2 million, 1.8 million and 2.4 million that were not vested at December 31, 2014, 2013 and 2012, respectively (Note 15).

The following potentially dilutive securities were considered in the calculation of EPS:

Potentially Dilutive Securities

Options to purchase 3.0 million, 2.7 million and 2.6 million common shares were outstanding at December 31, 2014, 2013 and 2012, respectively (Note 15). These outstanding options were not considered in the computation of diluted EPS for all periods presented, as the options were anti-dilutive due to the Company’s loss from continuing operations.

The Company’s senior convertible notes due 2040 were not included in the computation of diluted EPS for all periods presented due to the Company’s loss from continuing operations. In accordance with the terms specified in the governing documents, the senior convertible notes are convertible into common shares of the Company if the Company’s trading price exceeds 125% of the conversion price ($14.85 at December 31, 2014) (Note 7) and dilutive if the Company’s average trading price exceeds the conversion price. The Company’s senior convertible notes due 2012, which were also convertible into common shares of the Company, were not included in the computation of diluted EPS in 2012 due to the Company’s loss from continuing operations. The senior convertible notes due 2012 were repaid at maturity. In addition, the purchased option related to these notes was not included in the computation of diluted EPS for 2012 because the purchase option was anti-dilutive.

·	The exchange into common shares associated with OP Units was not included in the computation of diluted shares outstanding for 2014, 2013 or 2012 because the effect of assuming conversion was anti-dilutive (Note 10).

·	Shares subject to issuance under the Company’s 2013 VSEP (Note 15) were not considered in the computation of diluted EPS for the years ended December 2014 and 2013 as the calculation was anti-dilutive. This 2013 VSEP was not in effect in 2012.

Common shares that were subject to the forward equity agreements were not included in the computation of diluted EPS using the treasury stock method prior to the date of settlement because they were anti-dilutive due to the Company’s loss from continuing operations and are as follows (shares in millions):

Contract Date

Settlement Date

Number of

Common Shares

May 2013

September and October 2013

39.1

January 2012

June 2012

19.0