Earnings Per Share

6 Months Ended

Jun. 30, 2011

Earnings Per Share [Abstract]

Earnings Per Share

Note 2 – Earnings Per Share

We calculate basic earnings per share (EPS) by dividing net income by the weighted average number of common shares outstanding.  We include outstanding unvested restricted stock awards of our common stock in the basic weighted average share calculation.  Diluted EPS includes the dilutive effects of stock option awards.

The table below presents the computation of earnings per share, including the reconciliation of basic and diluted weighted average shares outstanding (in thousands, except EPS):

			Three Months Ended June 30,				Six Months Ended June 30,
			2011		2010		2011		2010
Net income			$	58,577	$	52,770	$	57,939	$	46,659
Weighted average common shares outstanding:
	Basic			48,231		49,513		48,546		49,355
	Effect of dilutive securities:
		Stock options and employee stock purchase plan		885		932		806		814
	Diluted			49,116		50,445		49,352		50,169
	Basic earnings per share		$	1.21	$	1.07	$	1.19	$	0.95
	Diluted earnings per share		$	1.19	$	1.05	$	1.17	$	0.93

The weighted average diluted shares outstanding for both the three and six months ended June 30, 2011 exclude stock options to purchase 1,384,242 shares and 1,419,692 shares, respectively, which are considered anti-dilutive because the exercise prices for these options were higher than our common stock’s average market price for these periods.  The weighted average diluted shares outstanding for the three and six months ended June 30, 2010 excluded stock options to purchase 1,451,858 shares and 1,458,858 shares, respectively, for the same reason.