Net Income Per Share

12 Months Ended

Jan. 03, 2016

Net Income per Share

The following table sets forth the computation of basic and diluted net income per share:



	Years ended
	January 3, 2016		December 28, 2014		December 29, 2013
	(In thousands, except per share amounts)
Numerator for basic net income per share:
Net income	$	388,478	$	1,007,446	$	1,042,657
Denominator for basic net income per share:
Weighted-average common shares outstanding	205,443		222,714		234,886
Basic net income per share	$	1.89	$	4.52	$	4.44

Numerator for diluted net income per share:
Net income	$	388,478	$	1,007,446	$	1,042,657
Denominator for diluted net income per share:
Weighted-average common shares outstanding	205,443		222,714		234,886
Incremental common shares attributable to exercise of outstanding employee stock options, SARs and ESPP (assuming proceeds would be used to purchase common stock), and RSUs	2,157		3,419		3,263
1.5% Notes due 2017	5,300		8,261		2,087
Warrants issued in conjunction with the 1.5% Notes due 2017	—		3,815		—
Shares used in computing diluted net income per share	212,900		238,209		240,236
Diluted net income per share	$	1.82	$	4.23	$	4.34

Anti-dilutive shares excluded from net income per share calculation	54,554		33,672		53,485

Basic earnings per share exclude any dilutive effects of stock options, SARs, RSUs, warrants and convertible debt.

Diluted earnings per share in 2015 and 2013 includes the dilutive effects of stock options, SARs, RSUs, ESPP and the 1.5% Notes due 2017. Certain common stock issuable under stock options, RSUs, the 0.5% Notes due 2020 and warrants issued in conjunction with the 1.5% Notes due 2017 and 0.5% Notes due 2020, have been omitted from the 2015 and 2013 diluted net income per share calculations because their inclusion is considered anti-dilutive.

Diluted earnings per share in 2014 includes the dilutive effects of stock options, SARs, RSUs, ESPP, the 1.5% Notes due 2017 and warrants issued in conjunction with the 1.5% Notes due 2017. Certain common stock issuable under stock options, RSUs, the 0.5% Notes due 2020 and warrants issued in conjunction with the 0.5% Notes due 2020, have been omitted from the 2014 diluted net income per share calculation because their inclusion is considered anti-dilutive.