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Net Earnings Per Share
 4 Months Ended
Jun. 17, 2017
Earnings Per Share [Abstract]  
Net Earnings (Loss) Per Share
NOTE 8—NET EARNINGS PER SHARE
Basic net earnings per share is calculated using net earnings attributable to SUPERVALU INC. divided by the weighted average number of shares outstanding during the period. Diluted net earnings per share is similar to basic net earnings per share except that the weighted average number of shares outstanding is computed after giving effect to the dilutive impacts of stock-based awards, if any.
The following table reflects the calculation of basic and diluted net earnings per share:
 
First Quarter Ended
 
June 17, 
 2017 
 (16 weeks)
 
June 18, 
 2016 
 (16 weeks)
Net earnings from continuing operations
$
12

 
$
20

Less net earnings attributable to noncontrolling interests
(1
)
 
(1
)
Net earnings from continuing operations attributable to SUPERVALU INC.
11

 
19

Income from discontinued operations, net of tax
—

 
27

Net earnings attributable to SUPERVALU INC.
$
11

 
$
46

 
 
 
 
Weighted average number of shares outstanding—basic
267

 
264

Dilutive impact of stock-based awards
2

 
3

Weighted average number of shares outstanding—diluted
269

 
267

 
 
 
 
Basic net earnings per share attributable to SUPERVALU INC.:
Continuing operations
$
0.04

 
$
0.07

Discontinued operations
$
—

 
$
0.10

Basic net earnings per share
$
0.04

 
$
0.17

Diluted net earnings per share attributable to SUPERVALU INC.:
Continuing operations
$
0.04

 
$
0.07

Discontinued operations
$
—

 
$
0.10

Diluted net earnings per share
$
0.04

 
$
0.17


Stock-based awards of 13 and 17 that were outstanding during the first quarters of fiscal 2018 and 2017, respectively, were excluded from the calculation of diluted net earnings per share from continuing operations for the periods because their inclusion would be antidilutive.
Reverse Stock Split
At the close of business on August 1, 2017, a 1-for-7 reverse split of Supervalu’s common stock will become effective. When the reverse stock split becomes effective, the number of authorized shares of Supervalu’s common stock will decrease to approximately 57, while the number of issued and outstanding shares will be reduced from approximately 269 to 38. No fractional shares will be issued following the reverse stock split. In lieu of any fractional shares, any holder of less than one share of common stock will be entitled to receive cash for such holder’s fractional share. The reverse stock split will not impact the authorized number of shares of preferred stock of Supervalu, none of which are outstanding. The reverse stock split will reduce the number of shares of common stock available for issuance under Supervalu’s equity compensation plans in proportion to the reverse stock split ratio. Upon effectiveness, the reverse stock split will cause a reduction in the number of shares of common stock issuable upon exercise or vesting of equity awards in proportion to the reverse stock split ratio and will cause a proportionate increase in any exercise price of such awards. Supervalu’s common stock will continue to trade on the NYSE under the symbol “SVU.”
The following table provides earnings per share calculated on a pro forma basis after giving effect to the reverse stock split, which Supervalu expects will begin trading on a split-adjusted basis when the market opens on August 2, 2017.
 
First Quarter Ended
 
June 17, 
 2017 
 (16 weeks)
 
June 18, 
 2016 
 (16 weeks)
Pro forma basic net earnings per share attributable to SUPERVALU INC. after reverse stock split:
Continuing operations
$
0.31

 
$
0.50

Discontinued operations
$
(0.01
)
 
$
0.72

Pro forma basic net earnings per share
$
0.30

 
$
1.22

Pro forma diluted net earnings per share attributable to SUPERVALU INC. after reverse stock split:
Continuing operations
$
0.30

 
$
0.49

Discontinued operations
$
(0.01
)
 
$
0.71

Pro forma diluted net earnings per share
$
0.30

 
$
1.20