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Earnings Per Share
 3 Months Ended
Mar. 31, 2015
Earnings Per Share [Abstract]  
Earnings Per Share
Note 13: Earnings Per Share

Beginning in the first quarter of 2015, we began applying the two-class method of calculating basic and diluted earnings per share (the "Two-Class Method") as it became significantly more dilutive than the previously applied treasury stock method as a result of stock repurchases increasing the average number of unvested restricted awards as a percentage of total common shares outstanding.
The Two-Class Method is an earnings allocation formula that treats a participating security, as having rights to earnings that otherwise would have been available to common shareholders and assumes all earnings for the period are distributed. Our unvested restricted stock awards granted are participating securities as they entitle recipients to receive nonforfeitable dividends during the vesting period on a basis equivalent to the dividends paid to holders of common stock.
Our calculation of basic and diluted earnings per share is as follows:
 
Three Months Ended
 
March 31,
In thousands, except per share data
2015
 
2014
Numerator
 
 
 
Income from continuing operations
$
42,155

 
$
27,606

Loss from discontinued operations
(6,556
)
 
(4,431
)
Net income
$
35,599

 
$
23,175

 
 
 
 
Distributed income from continuing operations to common shares
$
5,454

 
$
—

Distributed income from continuing operations to participating shares
148

 
—

Total distributed income from continuing operations
$
5,602

 
$
—

 
 
 
 
Undistributed income from continuing operations to common shares
$
35,321

 
$
26,860

Undistributed income from continuing operations to participating shares
1,232

 
746

Total undistributed income from continuing operations
$
36,553

 
$
27,606

 
 
 
 
Income from continuing operations to common shares - basic
$
40,775

 
$
26,860

Undistributed income from continuing operations allocated to participating shares
1,232

 
746

Undistributed income from continuing operations reallocated to participating shares
(1,231
)
 
(727
)
Income from continuing operations to common shares - diluted
$
40,776

 
$
26,879

 
 
 
 
Denominator
 
 
 
Weighted average common shares - basic
18,269

 
23,944

Dilutive effect of share-based payment awards
17

 
112

Dilutive effect of convertible debt
—

 
519

Weighted average common shares - diluted(1)
18,286

 
24,575

 
 
 
 
Basic earnings (loss) per common share:
 
 
 
Continuing operations
$
2.23

 
$
1.12

Discontinued operations
(0.36
)
 
(0.18
)
Basic earnings per common share
$
1.87

 
$
0.94

 
 
 
 
Diluted earnings (loss) per common share:
 
 
 
Continuing operations
$
2.23

 
$
1.09

Discontinued operations
(0.36
)
 
(0.18
)
Diluted earnings per common share
$
1.87

 
$
0.91

 
 
 
 
Stock options and share-based awards not included in diluted EPS calculation because their effect would have be antidilutive
3

 
156

(1)
Participating securities were included in the calculation of diluted earnings per share using the two-class method, as this calculation was more dilutive than the calculation using the treasury stock method.