The following table presents the computation of basic and diluted earnings per common share for the three and six months ended June 30:


	Three Months Ended June 30,						Six Months Ended June 30,
(Dollars in millions, except per share amounts)	2011			2010			2011			2010
Net income	$	513		$	432		$	984		$	927
Less:
Preferred stock dividends		(7	)		—			(7	)		—
Dividends and undistributed earnings allocated to participating securities⁽¹⁾		(4	)		(5	)		(9	)		(8	)

Net income available to common shareholders	$	502		$	427		$	968		$	919

Average shares outstanding (in thousands):
Basic average shares		496,806			495,606			497,137			495,099
Effect of dilutive securities: stock options and stock awards		4,238			3,280			3,616			3,196

Diluted average shares		501,044			498,886			500,753			498,295

Anti-dilutive securities⁽²⁾		1,434			14,294			1,155			10,969

Earnings per Share:
Basic	$	1.01		$	.87		$	1.95		$	1.86
Diluted⁽³⁾	$	1.00		$	.87		$	1.93		$	1.86

⁽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.