10.	Earning Per Share and Earnings Per Unit

Equity Residential

The following tables set forth the computation of net income per share – basic and net income per share – diluted for the Company (amounts in thousands except per share amounts):

	Six Months Ended June 30,						Quarter Ended June 30,
	2018			2017			2018			2017
Numerator for net income per share – basic:
Net income	$	338,958		$	354,101		$	118,410		$	204,160
Allocation to Noncontrolling Interests – Operating Partnership		(12,358	)		(12,765	)		(4,299	)		(7,354	)
Net (income) loss attributable to Noncontrolling Interests – Partially Owned Properties		(1,189	)		(1,553	)		(509	)		(765	)
Preferred distributions		(1,545	)		(1,546	)		(772	)		(773	)
Numerator for net income per share – basic	$	323,866		$	338,237		$	112,830		$	195,268
Numerator for net income per share – diluted:
Net income	$	338,958		$	354,101		$	118,410		$	204,160
Net (income) loss attributable to Noncontrolling Interests – Partially Owned Properties		(1,189	)		(1,553	)		(509	)		(765	)
Preferred distributions		(1,545	)		(1,546	)		(772	)		(773	)
Numerator for net income per share – diluted	$	336,224		$	351,002		$	117,129		$	202,622
Denominator for net income per share – basic and diluted:
Denominator for net income per share – basic		367,865			366,713			367,930			366,820
Effect of dilutive securities:
OP Units		12,864			12,906			12,865			12,913
Long-term compensation shares/units		2,495			2,886			2,628			2,959
Denominator for net income per share – diluted		383,224			382,505			383,423			382,692
Net income per share – basic	$	0.88		$	0.92		$	0.31		$	0.53
Net income per share – diluted	$	0.88		$	0.92		$	0.31		$	0.53

ERP Operating Limited Partnership

The following tables set forth the computation of net income per Unit – basic and net income per Unit – diluted for the Operating Partnership (amounts in thousands except per Unit amounts):

	Six Months Ended June 30,						Quarter Ended June 30,
	2018			2017			2018			2017
Numerator for net income per Unit – basic and diluted:
Net income	$	338,958		$	354,101		$	118,410		$	204,160
Net (income) loss attributable to Noncontrolling Interests – Partially Owned Properties		(1,189	)		(1,553	)		(509	)		(765	)
Allocation to Preference Units		(1,545	)		(1,546	)		(772	)		(773	)
Numerator for net income per Unit – basic and diluted	$	336,224		$	351,002		$	117,129		$	202,622
Denominator for net income per Unit – basic and diluted:
Denominator for net income per Unit – basic		380,729			379,619			380,795			379,733
Effect of dilutive securities:
Dilution for Units issuable upon assumed exercise/vesting of the Company’s long-term compensation shares/units		2,495			2,886			2,628			2,959
Denominator for net income per Unit – diluted		383,224			382,505			383,423			382,692
Net income per Unit – basic	$	0.88		$	0.92		$	0.31		$	0.53
Net income per Unit – diluted	$	0.88		$	0.92		$	0.31		$	0.53