Earnings Per Share

9 Months Ended

Sep. 30, 2015

Note 2 – Earnings per share

Basic earnings per share (“EPS”) is computed by dividing net income by the weighted average number of common shares outstanding during each period. Diluted EPS is computed by dividing net income by the weighted average number of common shares and common share equivalents outstanding (if dilutive) during each period. The number of common share equivalents, which include stock options and restricted stock units (“RSUs”), is computed using the treasury stock method.

The reconciliation of the denominators used to calculate basic EPS and diluted EPS for the three and nine month periods ended September 30, 2015 and 2014, are as follows:



	Three Months Ended September 30,		Nine Months Ended September 30,
	(In thousands)		(In thousands)
	(Unaudited)		(Unaudited)
	2015	2014	2015	2014
Weighted average shares outstanding-basic	127,935	127,478	128,219	126,785
Plus: Common share equivalents
Stock options and RSUs	294	425	637	744
Weighted average shares outstanding-diluted	128,229	127,903	128,856	127,529

Stock awards to acquire 1,331,000 shares and 420,000 shares for the three months ended September 30, 2015 and 2014, respectively, and 433,400 shares and 24,300 shares for the nine month periods ended September 30, 2015 and 2014, respectively, were excluded in the computations of diluted EPS because the effect of including the stock awards would have been anti-dilutive.