Earnings Per Share

6 Months Ended

Sep. 28, 2012

Earnings Per Share [Abstract]

EARNINGS PER SHARE

Basic earnings per common share attributable to PSS World Medical, Inc. is computed by dividing Net income attributable to PSS World Medical, Inc. by the weighted average number of the Company's common shares outstanding during the period. Diluted earnings per common share attributable to PSS World Medical, Inc. is computed by dividing Net income attributable to PSS World Medical, Inc. by the weighted average number of the Company's common shares and common equivalent shares outstanding during the period adjusted for the potential dilutive effect of stock options and restricted stock using the treasury stock method and the potential dilutive effect of outstanding convertible senior notes. Common equivalent shares are excluded from the computation in periods in which they have an anti-dilutive effect.

The following table sets forth computational data for the denominator in the basic and diluted earnings per common share calculation for the three and six months ended September 28, 2012 and September 30, 2011:

		For the Three Months Ended		For the Six Months Ended
		September 28,	September 30,	September 28,	September 30,
(in thousands)		2012	2011	2012	2011
Denominator-weighted average shares outstanding
	used in computing basic earnings per common share	49,431	52,309	49,463	53,237
Assumed conversion of the 2008 Notes		249	1,177	268	1,898
Assumed vesting of restricted stock		376	400	420	457
Assumed exercise of stock options (a)		17	70	17	80
Denominator-weighted average shares outstanding
	used in computing diluted earnings per common share	50,073	53,956	50,168	55,672

• Options to purchase approximately 1,475shares of common stock that were outstanding during the six months ended September 28,2012 were not included in the computation of diluted earnings per share because the options' exercise prices exceeded the average fair market value of the Company's common stock, and, therefore, inclusion would be anti-dilutive. There were no anti-dilutive options outstanding as of September 30, 2011.

The Company included shares underlying its 2008 Notes in its diluted weighted average shares outstanding during the three and six months ended September 28, 2012. Under the treasury stock method of accounting for share dilution,shares that would be issuable upon conversion were included, based upon the amount by which the average stock price for the period exceeded the conversion price of $21.22.

If the price of the Company's common stock exceeds $28.29 per share, additional potential shares that may be issued related to outstanding warrants, using the treasury stock method, will also be included. Prior to conversion, certain outstandingpurchased options are not considered for purposes of the dilutive earnings per share calculation as their effect is considered to be anti-dilutive.