Basic and Diluted Net Income (Loss) Per Share

12 Months Ended

Dec. 31, 2013

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 EPS amounts for all periods and the basic and diluted weighted-average shares outstanding used in the calculation.

	For the Years Ended December 31,
	2013			2012			2011
	(In thousands, except per share amounts)
Income (loss) from continuing operations	$	837,089		$	662,919		$	1,522,374
Less: Net income (loss) attributable to noncontrolling interest	(17,746		)	(10,947		)	(329		)
Income (loss) from continuing operations attributable to DISH Network	854,835			673,866			1,522,703
Income (loss) from discontinued operations, net of tax	(47,343		)	(37,179		)	(6,796		)
Net income (loss) attributable to DISH Network	$	807,492		$	636,687		$	1,515,907
Weighted-average common shares outstanding - Class A and B common stock:
Basic	456,044			450,264			445,434
Dilutive impact of stock awards outstanding	3,122			2,635			1,431
Diluted	459,166			452,899			446,865
Earnings per share - Class A and B common stock:
Basic net income (loss) per share from continuing operations attributable to DISH Network	$	1.87		$	1.49		$	3.41
Basic net income (loss) per share from discontinued operations	(0.10		)	(0.08		)	(0.01		)
Basic net income (loss) per share attributable to DISH Network	$	1.77		$	1.41		$	3.40
Diluted net income (loss) per share from continuing operations attributable to DISH Network	$	1.86		$	1.49		$	3.41
Diluted net income (loss) per share from discontinued operations	(0.10		)	(0.08		)	(0.02		)
Diluted net income (loss) per share attributable to DISH Network	$	1.76		$	1.41		$	3.39

As of December 31, 2013, 2012 and 2011, there were stock awards to acquire 0.7 million, 2.5 million and 5.0 million shares, respectively, of Class A common stock outstanding, not included in the weighted-average common shares outstanding above, as their effect is anti-dilutive.

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 December 31,
	2013	2012	2011
	(In thousands)
Performance based options	7,791	7,929	9,549
Restricted Performance Units	1,943	1,185	1,285
Total	9,734	9,114	10,834