Earning Per Share

6 Months Ended

Jun. 30, 2019

5. EARNINGS PER SHARE:

Basic earnings per share is computed by dividing net earnings attributable to common stockholders by the weighted average number of common shares outstanding during each period. Diluted earnings per share is computed by adjusting the average number of common shares outstanding for the dilutive effect, if any, of common stock equivalents. The Company uses the treasury stock method to determine the dilutive effect.

Certain share-based payments subject to performance or market conditions are considered contingently issuable shares for purposes of calculating diluted earnings per share. Thus, they are not included in the diluted earnings per share denominator until the performance or market criteria are met. Additionally, warrants are not included in the diluted earnings per share denominator using the treasury stock method until the date on which the volume-weighted average price of the Common Shares is at least $2.50 per Common Share for 30 consecutive trading days (the “Trading Price Condition”).

The following table provides a reconciliation of components of basic and diluted net income per common share:

	For the Three Months Ended					For the Six Months Ended
	June 30,					June 30,
	2019		2018			2019		2018
	(Share amounts in 000's)
Net income (loss)	$	57,105	$	(20,555	)	$	97,780	$	26,933
Weighted average common shares outstanding - basic		197,514		197,054			197,449		196,803
Effect of dilutive instruments		555		—			640		—
Weighted average common shares outstanding - diluted		198,069		197,054			198,089		196,803
Net income (loss) per common share - basic	$	0.29	$	(0.10	)	$	0.50	$	0.14
Net income (loss) per common share - fully diluted	$	0.29	$	(0.10	)	$	0.49	$	0.14
Number of contingently issuable shares, including warrants, that are not included in the diluted earnings per share denominator as the performance or market criteria have not been met		20,218		2,636			20,109		2,636