L-3 Holdings' Earnings Per Common Share

9 Months Ended

Sep. 23, 2016

Earnings Per Share [Abstract]

L-3 Holdings' Earnings Per Common Share

14.  L-3 Holdings’ Earnings Per Common Share

A reconciliation of basic and diluted earnings per share (EPS) is presented in the table below.

	Third Quarter Ended						Year-to-Date Ended
	September 23, 2016			September 25, 2015			September 23, 2016			September 25, 2015
	(in millions, except per share data)
Reconciliation of net income (loss):
Net income (loss)	$	151		$	(296	)	$	532		$	(63	)
Net income from continuing operations attributable to noncontrolling interests		(3	)		(3	)		(10	)		(11	)
Net income (loss) attributable to L-3 Holdings’ common shareholders	$	148		$	(299	)	$	522		$	(74	)
Earnings (loss) attributable to L-3 Holdings’ common shareholders:
Continuing operations	$	148		$	125		$	459		$	342
Discontinued operations, net of income tax		—			(424	)		63			(416	)
Net income (loss) attributable to L-3 Holdings’ common shareholders	$	148		$	(299	)	$	522		$	(74	)
Earnings (loss) per share attributable to L-3 Holdings’ common shareholders:
Basic:
Weighted average common shares outstanding		77.3			80.0			77.4			81.5
Basic earnings (loss) per share:
Continuing operations	$	1.91		$	1.56		$	5.93		$	4.19
Discontinued operations, net of income tax		—			(5.30	)		0.81			(5.10	)
Net income (loss)	$	1.91		$	(3.74	)	$	6.74		$	(0.91	)
Diluted:
Common and potential common shares:
Weighted average common shares outstanding		77.3			80.0			77.4			81.5
Assumed exercise of stock options		3.0			2.2			2.5			2.4
Unvested restricted stock awards		1.0			1.2			1.0			1.3
Employee stock purchase plan contributions		0.1			0.2			0.1			0.1
Performance unit awards		0.1			0.1			0.1			0.1
Assumed purchase of common shares for treasury		(2.7	)		(2.5	)		(2.4	)		(2.7	)
Common and potential common shares		78.8			81.2			78.7			82.7
Diluted earnings (loss) per share:
Continuing operations	$	1.88		$	1.54		$	5.83		$	4.14
Discontinued operations, net of income tax		—			(5.22	)		0.80			(5.03	)
Net income (loss)	$	1.88		$	(3.68	)	$	6.63		$	(0.89	)

The computation of diluted EPS excludes shares for stock options and employee stock purchase plan contributions of 0.6 million for the year-to-date period ended September 23, 2016, and 0.9 million and 0.6 million for the quarterly and year-to-date periods ended September 25, 2015, respectively, as they were anti-dilutive.