Basic and Diluted Net Income (Loss) Per Share

3 Months Ended

Mar. 31, 2012

Basic and Diluted Net Income (Loss) Per Share

Basic and Diluted Net Income (Loss) Per Share

3.Basic and Diluted Net Income (Loss) Per Share

We present both basic earnings per share (“EPS”) and diluted EPS.  Basic EPS excludes potential dilution and is computed by dividing “Net income (loss) attributable to DISH Network” by the weighted-average number of common shares outstanding for the period.  Diluted EPS reflects the potential dilution that could occur if stock awards were exercised.  The potential dilution from stock awards was computed using the treasury stock method based on the average market value of our Class A common stock.  The following table presents earnings per share amounts for all periods and the basic and diluted weighted-average shares outstanding used in the calculation.

	For the Three Months
	Ended March 31,
	2012		2011
	(In thousands, except per share amounts)
Net income (loss) attributable to DISH Network	$	360,310	$	549,394
Weighted-average common shares outstanding - Class A and B common stock:
Basic	447,289		443,360
Dilutive impact of stock awards outstanding	2,591		5,490
Diluted	449,880		448,850
Earnings per share - Class A and B common stock:
Basic net income (loss) per share attributable to DISH Network	$	0.81	$	1.24
Diluted net income (loss) per share attributable to DISH Network	$	0.80	$	1.22

As of March 31, 2012 and 2011, there were stock awards to purchase 3.4 million and 7.1 million shares, respectively, of Class A common stock outstanding, not included in the weighted-average common shares outstanding above, as their effect is antidilutive.

Vesting of options and rights to acquire shares of our Class A common stock granted pursuant to our performance-based stock incentive plans (“Restricted Performance Units”) is contingent upon meeting certain goals, some of which are not yet probable of being achieved.  As a consequence, the following are also not included in the diluted EPS calculation.

	As of March 31,
	2012	2011
	(In thousands)
Performance-based options	9,619	10,859
Restricted Performance Units and other	1,281	1,101
Total	10,900	11,960