Net (Loss) Income Available to Common Stockholders Per Share of the Company

6 Months Ended

Jun. 30, 2011

Net (Loss) Income Available to Common Stockholders Per Share of the Company [Abstract]

Net (Loss) Income Available to Common Stockholders Per Share of the Company

14.   Net (Loss) Income Available to Common Stockholders Per Share of the Company

The following table reconciles the numerator and denominator in computing the Company’s basic and diluted per-share computations for net (loss) income available to common stockholders for the three and six months ended June 30, 2011 and 2010:

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2011			2010			2011			2010
	(in thousands, except share and per share amounts)
Numerator:
Net income attributable to Kilroy Realty Corporation	$	3,482		$	2,016		$	8,315		$	10,701
Preferred distributions and dividends		(3,799	)		(3,799	)		(7,598	)		(7,598	)
Net (loss) income available to common stockholders		(317	)		(1,783	)		717			3,103
Allocation to participating securities (nonvested shares and RSUs)		(327	)		(305	)		(649	)		(604	)
Numerator for basic and diluted net (loss) income available to common stockholders	$	(644	)	$	(2,088	)	$	68		$	2,499
Denominator:
Basic weighted average vested shares outstanding		57,685,710			50,296,643			55,008,765			46,674,494
Effect of dilutive securities- Exchangeable Notes and stock options		—			—			375,964			3,356
Diluted weighted average vested shares and common share equivalents outstanding		57,685,710			50,296,643			55,384,729			46,677,850
Basic earnings per share:
Net (loss) income available to common stockholders per share	$	(0.01	)	$	(0.04	)	$	0.00		$	0.05
Diluted earnings per share:
Net (loss) income available to common stockholders per share	$	(0.01	)	$	(0.04	)	$	0.00		$	0.05

The effect of the 4.25% Exchangeable Notes was not included in the Company’s diluted earnings per share calculation for the three and six months ended June 30, 2010 and the effect of the 3.25% Exchangeable Notes was not included in the Company’s diluted earnings per share calculation for the three and six months ended June 30, 2011 and 2010. The average trading price of the Company’s common stock on the NYSE was below the Exchangeable Notes exchange price for these periods; therefore, these instruments were not considered to be in the money for the purposes of our diluted earnings per share calculation for these periods (See Note 5). Additionally, the effect of the assumed exchange of the 4.25% Exchangeable Notes was not included in the Company’s diluted earnings per share calculation for the three months ended June 30, 2011 as it was anti-dilutive as a result of the net loss available to common stockholders.