Net Income Per Common Share

6 Months Ended

Jun. 30, 2011

Net Income Per Common Share [Abstract]

NET INCOME PER COMMON SHARE

NOTE 12—NET INCOME PER COMMON SHARE

	Three Months Ended						Six Months Ended
	June 30,						June 30,
(Thousands of dollars except per share data)	2011			2010			2011			2010
Basic
Average common shares outstanding		104,676,477			107,686,335			104,833,745			107,822,967
Net income	$	179,115		$	181,706		$	247,431		$	214,309
Less net income allocated to unvested restricted shares		(2,039	)		(1,983	)		(2,709	)		(2,186	)
Net income allocated to common shares	$	177,076		$	179,723		$	244,722		$	212,123
Basic net income per common share	$	1.69		$	1.67		$	2.33		$	1.97
Diluted
Average common shares outstanding		104,676,477			107,686,335			104,833,745			107,822,967
Stock options and other contingently issuable shares (1)		2,199,984			2,146,317			2,270,280			1,637,652
Average common shares outstanding assuming dilution		106,876,461			109,832,652			107,104,025			109,460,619
Net income	$	179,115		$	181,706		$	247,431		$	214,309
Less net income allocated to unvested restricted shares assuming dilution		(2,004	)		(1,950	)		(2,666	)		(2,154	)
Net income allocated to common shares assuming dilution	$	177,111		$	179,756		$	244,765		$	212,155
Diluted net income per common share	$	1.66		$	1.64		$	2.29		$	1.94

⁽¹⁾ Stock options and other contingently issuable shares excludes 0.1 million shares for the six months ended June 30, 2011 and June 30, 2010 due to their anti-dilutive effect. There were 0.1 million shares excluded due to their anti-dilutive effect for the three months ended June 30, 2011 and none for the three months ended June 30, 2010.

The Company has two classes of participating securities: common shares and restricted shares, representing 99% and 1% of outstanding shares, respectively. The restricted shares are shares of unvested restricted stock granted under the Company’s restricted stock award program. Unvested restricted shares granted prior to April 21, 2010 received non-forfeitable dividends, and the shares are therefore considered a participating security. Effective April 21, 2010, the restricted stock award program was revised and dividends on performance-based restricted shares granted after this date are deferred and payment is contingent upon the awards vesting. Only the time-based restricted shares, which continue to receive non-forfeitable dividends, are considered a participating security. Basic and diluted earnings per share are calculated using the two-class method in accordance with the Earnings Per Share Topic of the ASC.