Earnings/(Loss) Per Share

Basic income/(loss) per common share is computed by dividing net income/(loss) less accumulated preferred stock dividends by the weighted average number of common shares outstanding. Shares issued and treasury shares repurchased during the year are weighted for the portion of the year that they were outstanding. Diluted income/(loss) per share is computed in a manner consistent with that of basic income/(loss) per share, while giving effect to all potentially dilutive common shares that were outstanding during the period.

Dilutive effect for equity compensation and other equity instruments — The outstanding non-qualified stock options, non-vested restricted stock units, and market stock units are not considered outstanding for purposes of computing basic income/(loss) per share. However, these instruments are included in the denominator for purposes of computing diluted income/(loss) per share under the treasury stock method. The if-converted method was used to determine the dilutive effect of the 2048 Convertible Senior Notes for the year ended December 31, 2018. During 2016, the Company repurchased 100% of the outstanding shares of its 2.822%% preferred stock.

The reconciliation of NRG's basic income/(loss) per share to diluted income/(loss) per share is shown in the following table:



	Year Ended December 31,
	2018		2017			2016
	(In millions, except per share amounts)
Basic income/(loss) per share attributable to NRG common stockholders
Net income/(loss) attributable to NRG Energy, Inc.	$	268	$	(2,153	)	$	(774	)
Dividends for preferred shares	—		—			5
Gain on redemption of 2.822% redeemable perpetual preferred shares	—		—			(78		)
Income/(Loss) Available to Common Stockholders	$	268	$	(2,153	)	$	(701	)
Weighted average number of common shares outstanding-basic	304		317			316
Income/(Loss) per weighted average common share — basic	$	0.88	$	(6.79	)	$	(2.22	)
Diluted income/(loss) per share attributable to NRG common stockholders
Weighted average number of common shares outstanding-basic	304		317			316
Incremental shares attributable to the issuance of equity compensation (treasury stock method)	4		—			—
Total dilutive shares	308		317			316
Income/(Loss) per weighted average common share — diluted	$	0.87	$	(6.79	)	$	(2.22	)

The following table summarizes NRG's outstanding equity instruments that are anti-dilutive and were not included in the computation of the Company's diluted income/(loss) per share:



	Year Ended December 31,
	2018	2017	2016
	(In millions of shares)
Equity compensation plans	—	5	5
2048 Convertible Senior Notes	7	—	—
Total	7	5	5