Shares Used in Computing Earnings (Loss) per Share

9 Months Ended

Sep. 30, 2012

Shares Used in Computing Earnings (Loss) per Share

Note 9. Earnings (Loss) Per Share

Basic earnings (loss) per share are calculated using the weighted average number of common shares issued and outstanding for the applicable period. Diluted earnings (loss) per share is computed using basic weighted average shares issued and outstanding plus the dilutive effect of nonvested restricted stock and outstanding stock options using the “treasury stock” method.

(in thousands, except per share data)	Three Months Ended				Nine Months Ended
	September 30, 2012		October 2, 2011		September 30, 2012			October 2, 2011
Net earnings (loss)	$	7,203	$	704	$	(272,409	)	$	(9,170	)
Weighted-average common shares outstanding - basic	60,451		59,796		60,243			59,959
Dilutive effect of nonvested restricted shares and stock options	128		101		—			—
Weighted-average shares outstanding - diluted	60,579		59,897		60,243			59,959
Basic earnings (loss) per share	$	0.12	$	0.01	$	(4.52	)	$	(0.15	)
Diluted earnings (loss) per share	$	0.12	$	0.01	$	(4.52	)	$	(0.15	)

Our calculation of diluted earnings (loss) per share excludes approximately 3,441,000 and 3,439,000 stock options for the three and nine months ended September 30, 2012; and approximately 4,115,000 and 4,086,000 shares for the three and nine months ended October 2, 2011, because their inclusion would have been anti-dilutive. The stock options excluded for the three-month periods ended September 30, 2012 and October 2, 2011 had exercise prices that exceeded the average market price of our stock during the respective periods. All outstanding stock options, regardless of exercise price, were excluded for the nine-month periods ended September 30, 2012 and October 2, 2011, due to the net loss recorded for each such period. In periods where net earnings are reported, these options may become dilutive if the average market price of our common stock exceeds the exercise price of the outstanding options.