Net Income (Loss) Per Share

6 Months Ended

Jun. 30, 2011

Net Income (Loss) Per Share

Net Income (Loss) Per Share

NOTE K. Net Income (Loss) Per Share

In accordance with GAAP, the Company uses the two-class method of calculating net income (loss) per share because certain of the Company's and its consolidated subsidiaries' unvested share-based awards qualify as participating securities. Participating securities participate in the Company's dividend distributions and are assumed to participate in the Company's undistributed income proportionate to weighted average outstanding common shares, but are not assumed to participate in the Company's net losses because they are not contractually obligated to do so. Accordingly, allocations of earnings to participating securities are included in the Company's calculations of basic and diluted earnings per share from continuing operations, discontinued operations and net income attributable to common stockholders.

During periods in which the Company realizes a loss from continuing operations attributable to common stockholders, securities or other contracts to issue common stock would be dilutive to loss per share from continuing operations; therefore, conversion into common stock is assumed not to occur.

The following tables reconcile the Company's net income from continuing operations, income (loss) from discontinued operations and net income attributable to common stockholders to the basic and diluted earnings used in the two-class method to determine the Company's net income per share amounts for the three and six months ended June 30, 2011 and 2010:

	Three Months Ended June 30, 2011									Six Months Ended June 30, 2011
	Continuing Operations			Discontinued Operations			Total			Continuing Operations			Discontinued Operations			Total
	(in thousands)
Income (loss) as reported	$	267,284		$	(1,584	)	$	265,700		$	196,446		$	413,058		$	609,504
Net income attributable to the noncontrolling interests		(20,123	)		—			(20,123	)		(15,333	)		—			(15,333	)
Participating basic earnings		(4,847	)		—			(4,847	)		(3,307	)		(7,542	)		(10,849	)
Basic net income (loss) attributable to common stockholders		242,314			(1,584	)		240,730			177,806			405,516			583,322
Reallocation of participating earnings		164			—			164			82			189			271
Diluted income (loss) attributable to common stockholders	$	242,478		$	(1,584	)	$	240,894		$	177,888		$	405,705		$	583,593
	Three Months Ended June 30, 2010									Six Months Ended June 30, 2010
	Continuing Operations			Discontinued Operations			Total			Continuing Operations			Discontinued Operations			Total
	(in thousands)
Income as reported	$	146,838		$	41,851		$	188,689		$	403,633		$	45,662		$	449,295
Net income attributable to the noncontrolling interests		(21,113	)		—			(21,113	)		(36,465	)		—			(36,465	)
Participating basic earnings		(3,063	)		(1,020	)		(4,083	)		(8,351	)		(1,039	)		(9,390	)
Basic income attributable to common stockholders		122,662			40,831			163,493			358,817			44,623			403,440
Reallocation of participating earnings		84			28			112			98			12			110
Diluted income attributable to common stockholders	$	122,746		$	40,859		$	163,605		$	358,915		$	44,635		$	403,550

The following table is a reconciliation of basic weighted average common shares outstanding to diluted weighted average common shares outstanding for the three and six months ended June 30, 2011 and 2010:

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
	(in thousands)
Weighted average common shares outstanding:
Basic		116,213		115,104		116,042		114,880
Dilutive common stock options		178		262		188		243
Convertible senior notes dilution		1,772		—		2,333		—
Contingently issuable performance unit shares		429		640		423		612
Diluted		118,592		116,006		118,986		115,735