Earnings Per Common Share

9 Months Ended

Sep. 30, 2020

2. Earnings Per Common Share

Basic earnings per share is the amount of earnings (adjusted for dividends declared on our preferred stock) available to each Common Share outstanding during the reporting periods. Diluted earnings per share is the amount of earnings available to each Common Share outstanding during the reporting periods adjusted to include the effects of potentially dilutive Common Shares. Potentially dilutive Common Shares include stock options and other stock-based awards. Potentially dilutive Common Shares are excluded from the computation of diluted earnings per share in the periods where the effect would be antidilutive.

Our basic and diluted earnings per Common Share are calculated as follows:


	Three months ended September 30,				Nine months ended September 30,
dollars in millions, except per share amounts	2020		2019		2020		2019
EARNINGS
Income (loss) from continuing operations	$	424	$	413	$	754	$	1,242
Less: Net income (loss) attributable to noncontrolling interests	—		—		—		—
Income (loss) from continuing operations attributable to Key	424		413		754		1,242
Less: Dividends on Preferred Stock	27		30		80		70
Income (loss) from continuing operations attributable to Key common shareholders	397		383		674		1,172
Income (loss) from discontinued operations, net of taxes	4		3		7		6
Net income (loss) attributable to Key common shareholders	$	401	$	386	$	681	$	1,178
WEIGHTED-AVERAGE COMMON SHARES
Weighted-average Common Shares outstanding (000)	967,804		988,319		967,632		998,268
Effect of Common Share options and other stock awards	6,184		10,009		6,648		9,632
Weighted-average Common Shares and potential Common Shares outstanding (000) (a)	973,988		998,328		974,280		1,007,900
EARNINGS PER COMMON SHARE
Income (loss) from continuing operations attributable to Key common shareholders	$	.41	$	.39	$	.70	$	1.17
Income (loss) from discontinued operations, net of taxes	—		—		.01		.01
Net income (loss) attributable to Key common shareholders (b)	.41		.39		.70		1.18

Income (loss) from continuing operations attributable to Key common shareholders — assuming dilution	$	.41	$	.38	$	.69	$	1.16
Income (loss) from discontinued operations, net of taxes — assuming dilution	—		—		.01		.01
Net income (loss) attributable to Key common shareholders — assuming dilution (b)	.41		.39		.70		1.17

(a)Assumes conversion of Common Share options and other stock awards and/or convertible preferred stock, as applicable.

(b)EPS may not foot due to rounding.