Earnings Per Share

9 Months Ended

Sep. 30, 2014

Disclosure Text Block

Earnings per Share

4. Earnings Per Share

Basic earnings (loss) per share attributable to TDS shareholders is computed by dividing Net income(loss) available to common shareholders of TDS by the weighted average number of common shares outstanding during the period. Diluted earnings (loss)per share attributable to TDS shareholders is computed by dividing Net income (loss)available to common shareholders of TDS by the weighted average number of common shares outstanding during the period adjusted to include the effects of potentially dilutive securities. Potentially dilutive securities primarily include incremental shares issuable upon exercise of outstanding stock options and the vesting of restricted stock units.

The amounts used in computing earnings (loss) per common share and the effects of potentially dilutive securities on the weighted average number of common shares were as follows:

				Three Months Ended				Nine Months Ended
				September 30,				September 30,
				2014		2013		2014		2013
(Dollars and shares in thousands, except per share amounts)
Basic earnings (loss) per share attributable to TDS shareholders:
	Net income (loss) available to common shareholders of TDS used in basic earnings (loss) per share			$	(116,042)	$	(9,524)	$	(119,851)	$	147,947
Adjustments to compute diluted earnings:
	Noncontrolling interest adjustment				-		-		-		(1,065)
	Preferred dividend adjustment				-		-		-		37
	Net income (loss) attributable to common shareholders of TDS used in diluted earnings (loss) per share			$	(116,042)	$	(9,524)	$	(119,851)	$	146,919
Weighted average number of shares used in basic earnings (loss) per share:
		Common Shares			101,067		101,422		101,474		101,256
		Series A Common Shares			7,185		7,149		7,176		7,149
			Total		108,252		108,571		108,650		108,405
Effects of dilutive securities:
	Stock options				-		-		-		170
	Restricted stock units				-		-		-		363
	Preferred shares				-		-		-		55
Weighted average number of shares used in diluted earnings (loss) per share					108,252		108,571		108,650		108,993
Basic earnings (loss) per share attributable to TDS shareholders				$	(1.07)	$	(0.09)	$	(1.10)	$	1.36
Diluted earnings (loss) per share attributable to TDS shareholders				$	(1.07)	$	(0.09)	$	(1.10)	$	1.35

Certain Common Shares issuable upon the exercise of stock options, vesting of restricted stock units or conversion of preferred shares were not included in average diluted shares outstanding for the calculation of Diluted earnings (loss) per share attributable to TDS shareholders because their effects were antidilutive. The number of such Common Shares excluded, if any, is shown in the table below.

	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2014	2013	2014	2013
(Shares in thousands)
Stock options	9,207	9,199	8,922	7,225
Restricted stock units	992	883	823	187
Preferred shares	52	55	52	-