Earnings Per Common Share

3 Months Ended

Mar. 31, 2012

Earnings Per Share [Abstract]

Earnings Per Common Share

Earnings Per Common Share

The following table presents the computation of basic and diluted earnings per common share for the periods indicated:

	Three Months Ended March 31,
(Dollars in millions, except per share amounts)	2012			2011
Net income	$	427		$	471
Less:
Preferred stock dividends	(7		)	—
Dividends and undistributed earnings allocated to participating securities(1)	(3		)	(5		)
Net income available to common shareholders	$	417		$	466
Average common shares outstanding (in thousands):
Basic average common shares	484,942			497,471
Effect of dilutive securities: common stock options and common stock awards	5,512			3,509
Diluted average common shares	490,454			500,980
Anti-dilutive securities(2)	1,470			1,311
Earnings per Common Share:
Basic	$	.86		$	.94
Diluted(3)	.85			.93

⁽¹⁾  Represented the portion of net income available to common equity allocated to participating securities; participating securities, composed of unvested restricted stock and director stock, have non-forfeitable rights to dividends during the vesting period on a basis equivalent to dividends paid to common shareholders.

⁽²⁾  Represented stock options, restricted stock and other securities outstanding but not included in the computation of diluted average shares because their effect was anti-dilutive.

⁽³⁾  Calculations reflect the allocation of earnings to participating securities using the two-class method, as this computation was more dilutive than the calculation using the treasury stock method.