Earnings Per Share

3 Months Ended

May 04, 2013

Earnings Per Share

NOTE 5. Earnings  Per Share

Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding for the period.  Diluted earnings per share is applicable only in periods of net income and is computed by dividing net income by the weighted average number of common shares outstanding for the period and potentially dilutive common stock equivalents outstanding for the period.  Periods of net loss require the diluted computation to be the same as the basic computation.  During the first quarter of fiscal 2013 and 2012, options to purchase 0.9 million and 3.2 million shares, respectively, of potentially anti-dilutive common stock equivalents were outstanding.

A reconciliation of the numerator and denominator of basic and diluted earnings per share is as follows (in thousands, except per share amounts):

	Three Months Ended
	May 4, 2013		April 28, 2012
Basic and diluted earnings per share computation:
Numerator	$	4,102	$	3,835
Denominator:
Weighted average common shares outstanding		40,545		42,139
Incremental shares from assumed exercise/issuance of options and awards		1,118		682
Total shares		41,663		42,821
Basic earnings per share	$	0.10	$	0.09
Diluted earnings per share	$	0.10	$	0.09