EARNINGS PER SHARE

9 Months Ended

Dec. 31, 2013

EARNINGS PER SHARE [Abstract]

EARNINGS PER SHARE

8. EARNINGS PER SHARE

Basic earnings per share is computed by dividing net earnings attributable to common shares by the weighted average number of common shares outstanding for the period. Diluted net earnings per share include the potential dilution of securities that could participate in our earnings, but not securities that are anti-dilutive. Certain unvested shares of restricted stock awards ("RSAs") contain non-forfeitable rights to dividends, whether paid or unpaid. As a result, these RSAs are considered participating securities because their holders have the right to participate in earnings with common stockholders. We use the two-class method to allocate net income between common shares and other participating securities. As of December 31, 2013, we had 45 thousand shares of RSAs that contained non-forfeitable rights to dividends, which vest over the next six months. In addition, we no longer grant RSAs that contain non-forfeitable rights to dividends.

The following table provides a reconciliation of the numerators and denominators used to calculate basic and diluted net earnings per common share as disclosed in our unaudited condensed consolidated statements of operations for the three and nine months ended December 31, 2013 and December 31, 2012 (in thousands, except per share data).

	Three Months Ended				Nine Months Ended
	December 31,				December 31,
	2013		2012		2013		2012
Basic and diluted shares outstanding
Weighted average shares outstanding — basic		7,950		7,843		7,947		7,778
Effect of dilutive shares		32		-		66		90
Weighted average shares outstanding — diluted		7,982		7,843		8,013		7,868
Calculation of earnings per share - basic
Net earnings	$	10,610	$	9,033	$	27,051	$	27,128
Net earnings attributable to participating securities		60		342		261		507
Net earnings attributable to common shareholders	$	10,550	$	8,691	$	26,790	$	26,621
Earnings per share - basic	$	1.33	$	1.11	$	3.37	$	3.42
Calculation of earnings per share - diluted
Net earnings attributable to common shareholders— basic	$	10,550	$	8,691	$	26,790	$	26,621
Add: undistributed earnings attributable to participating securities		-		-		2		1
Net earnings attributable to common shareholders— diluted	$	10,550	$	8,691	$	26,792	$	26,622
Earnings per share - diluted	$	1.32	$	1.11	$	3.34	$	3.38

During the quarter ended December 31, 2012, we paid a special cash dividend of $20.1 million, which exceeded our net earnings for the quarter. Under the two-class method for calculating earnings per share, the excess of the dividend over net earnings results in diluted earnings per share being anti-dilutive. Therefore, our diluted earnings per share is equal to basic earnings per share.

All unexercised stock options were included in the computations of diluted earnings per share for the three and nine months ended December 31, 2012. As of December 31, 2013, we had no unexercised stock options.