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EARNINGS PER SHARE
 12 Months Ended
Aug. 31, 2012
Earnings Per Share [Abstract]  
EARNINGS PER SHARE
EARNINGS PER SHARE
 

The Company presents basic and diluted income per share using the two class method.   The two-class method is an earnings allocation formula that treats a participating security as having rights to earnings that otherwise would have been available to common stockholders and that determines basic income per share  for each class of common stock and participating security according to dividends declared (or accumulated) and participation rights in undistributed earnings that would have been available to common stockholders.   A participating security is defined as a security that may participate in undistributed earnings with common stock.  The Company’s capital structure includes securities that participate with common stock on a one for one basis for distribution of dividends.  These are the restricted stock awards and restricted stock units authorized within the 1998, 2001 and 2002 Equity Participation Plans of the Company.  In addition, the Company determines the diluted income per share by including the basic weighted average of stock options outstanding in the calculation of diluted net income per share.

The following table sets forth the computation of net income per share for the twelve months ended August 31, 2012, 2011 and 2010 (in thousands, except per share amounts):

 
Years Ended August 31,
 
2012
 
2011
 
2010
Net income from continuing operations
$
67,646

 
$
61,836

 
$
49,299

Less: Earnings and dividends allocated to unvested stockholders
(1,337
)
 
(952
)
 
(870
)
Dividend distribution to common stockholders
(17,745
)
 
(17,697
)
 
(14,664
)
Basic undistributed net earnings available to common stockholders from continuing operations
$
48,564

 
$
43,187

 
$
33,765

Add: Net undistributed earnings allocated and reallocated to unvested stockholders (two-class method) and dividend distribution
17,745

 
17,697

 
14,664

Net earnings available to common stockholders from continuing operations
$
66,309

 
$
60,884

 
$
48,429

Net earnings (loss) available to common stockholders from discontinued operations
$
(25
)
 
$
(86
)
 
$
16

Basic weighted average shares outstanding
29,554

 
29,441

 
29,254

Add dilutive effect of stock options (two-class method)
12

 
9

 
25

Diluted average shares outstanding
29,566

 
29,450

 
29,279

Basic net income per share from continuing operations
$
2.24

 
$
2.07

 
$
1.66

Diluted net income per share from continuing operations
$
2.24

 
$
2.07

 
$
1.65

Basic net income (loss) per share from discontinued operations
$
—

 
$
—

 
$
—

Diluted net income (loss) per share from discontinued operations
$
—

 
$
—

 
$
—



 
Years Ended August 31,
 
2012
 
2011
 
2010
Net income attributable to PriceSmart:
 
 
 
 
 
Income from continuing operations
$
67,646

 
$
61,836

 
$
49,299

Income (loss) from discontinued operations, net of tax
(25
)
 
(86
)
 
16

 
$
67,621

 
$
61,750

 
$
49,315