Earnings Per Share

12 Months Ended

Jun. 27, 2020

Note 3. Earnings Per Share

Basic net income (loss) per share is computed by dividing net income (loss) for the period by the weighted average number of common shares outstanding during the period. Diluted net income (loss) per share is computed by dividing net income (loss) for the period by the weighted average number of shares of common stock and potentially dilutive common stock outstanding during the period. The dilutive effect of outstanding ESPP purchase rights, RSUs, PSUs, MSUs and options is reflected in diluted net income (loss) per share by application of the treasury stock method. The calculation of diluted net income (loss) per share excludes all anti-dilutive common shares.

The following table sets forth the computation of basic and diluted net income (loss) per share (in millions, except per share data):



	Years Ended
	June 27, 2020		June 29, 2019			June 30, 2018
Numerator:
Income (loss) from continuing operations, net of taxes	$	28.7	$	7.8		$	(48.6	)
Loss from discontinued operations, net of taxes	—		(2.4		)	—
Net income (loss)	$	28.7	$	5.4		$	(48.6	)
Denominator:
Weighted-average shares outstanding:
Basic	229.4		228.1			227.1
Shares issuable assuming conversion of convertible notes⁽¹⁾	1.2		—			—
Effect of dilutive securities from stock-based benefit plans	3.1		3.1			—
Diluted	233.7		231.2			227.1

Net income (loss) per share from - basic:
Continuing operations	$	0.13	$	0.03		$	(0.21	)
Discontinued operations	—		(0.01		)	—
Net income (loss)	$	0.13	$	0.02		$	(0.21	)

Net income (loss) per share from - diluted:
Continuing operations	$	0.12	$	0.03		$	(0.21	)
Discontinued operations	—		(0.01		)	—
Net income (loss)	$	0.12	$	0.02		$	(0.21	)

(1)

Represents the number of shares that would be issued if the Company’s Senior Convertible Notes had been converted. The par amount of the Company’s convertible notes is payable in cash equal to the principal amount of the notes plus any accrued and unpaid interest and the “in-the money” conversion benefit feature above the conversion price is payable in cash, shares of the Company’s common stock or a combination of both, at the Company’s election.

The following table sets forth the weighted-average potentially dilutive securities excluded from the computation of the diluted net income (loss) per share because their effect would have been anti-dilutive (in millions):



	Years Ended
	June 27, 2020 (4)	June 29, 2019 (2)(3)(4)	June 30, 2018 (1)(2)(3)(4)
Stock options and ESPP	—	0.1	1.6
Full Value Awards	0.2	0.4	7.3
Total potentially dilutive securities	0.2	0.5	8.9


(1)	As the Company incurred a net loss from continuing operations in the period, potential dilutive securities from employee stock options, ESPP, RSUs , PSUs and MSUs have been excluded from the diluted net loss per share computations as their effects were deemed anti-dilutive.

(2)

The Company’s 0.625% Senior Convertible Notes due 2033 are not included in the table above. The par amount of convertible notes is payable in cash equal to the principal amount of the notes plus any accrued and unpaid interest and then the “in-the-money” conversion benefit feature at the conversion price above $11.28 per share is payable in cash, shares of the Company’s common stock or a combination of both at the Company’s election. In October 2018, the 2033 Notes were fully redeemed and any potential dilution effect of the Notes was realized upon the Company settling the “in-the-money” conversion benefit feature of the Notes with shares of common stock. Refer to “Note 11. Debt” for more details.


(3)	The Company’s 1.00% Senior Convertible Notes due 2024 are not included in the table above. The par amount of convertible notes is payable in cash equal to the principal amount of the notes plus any accrued and unpaid interest and then the “in-the-money” conversion benefit feature at the conversion

price above $13.22 per share is payable in cash, shares of the Company’s common stock or a combination of both at the Company’s election. Refer to “Note 11. Debt” for more details.

(4)

The Company’s 1.75% Senior Convertible Notes due 2023 are not included in the table above. The par amount of convertible notes is payable in cash equal to the principal amount of the notes plus any accrued and unpaid interest and then the “in-the-money” conversion benefit feature at the conversion price above $13.94 per share is payable in cash, shares of the Company’s common stock or a combination of both at the Company’s election. Refer to “Note 11. Debt” for more details.