Earnings Per Share

6 Months Ended

Jun. 30, 2019

The following table summarizes the Company’s computation of basic and diluted earnings per share (EPS) for the three and six months ended June 30, 2019 and 2018 (amounts in thousands except per share information):



	Three Months Ended June 30, 2019						Six Months Ended June 30, 2019
	Income (numerator)			Shares (denominator)	Per Share Amount		Income (numerator)			Shares (denominator)	Per Share Amount
Basic EPS:
Net income	$	66,594					$	131,943
Less: preferred dividend requirements	(6,034		)				(12,068		)
Net income available to common shareholders	$	60,560		76,164	$	0.80	$	119,875		75,426	$	1.59
Diluted EPS:
Net income available to common shareholders	$	60,560		76,164			$	119,875		75,426
Effect of dilutive securities:
Share options	—			35			—			41
Net income available to common shareholders	$	60,560		76,199	$	0.79	$	119,875		75,467	$	1.59



	Three Months Ended June 30, 2018						Six Months Ended June 30, 2018
	Income (numerator)			Shares (denominator)	Per Share Amount		Income (numerator)			Shares (denominator)	Per Share Amount
Basic EPS:
Net income	$	91,581					$	121,119
Less: preferred dividend requirements	(6,036		)				(12,072		)
Net income available to common shareholders	$	85,545		74,329	$	1.15	$	109,047		74,238	$	1.47
Diluted EPS:
Net income available to common shareholders	$	85,545		74,329			$	109,047		74,238
Effect of dilutive securities:
Share options	—			36			—			35
Net income available to common shareholders	$	85,545		74,365	$	1.15	$	109,047		74,273	$	1.47

The additional 2.2 million and 2.1 million common shares that would result from the conversion of the Company’s 5.75% Series C cumulative convertible preferred shares for the three and six months ended June 30, 2019 and 2018, respectively, and the additional 1.6 million common shares that would result from the conversion of the Company’s 9.0% Series E cumulative convertible preferred shares for both the three and six months ended June 30, 2019 and 2018 and the corresponding add-back of the preferred dividends declared on those shares are not included in the calculation of diluted earnings per share because the effect is anti-dilutive.

The dilutive effect of potential common shares from the exercise of share options is included in diluted earnings per share for the three and six months ended June 30, 2019 and 2018. However, options to purchase 4 thousand and 86 thousand common shares at per share prices ranging from $73.84 to $76.63 and $56.94 to $76.63 were outstanding for the three and six months ended June 30, 2019 and 2018, respectively, but were not included in the computation of diluted earnings per share because they were anti-dilutive.