EPS Calculation

The following table presents a reconciliation of the earnings and shares used in calculating basic and diluted EPS for the three and nine months ended September 30, 2013 and 2012:



	Three Months Ended September 30,						Nine Months Ended September 30,
(In Thousands, Except Per Share Amounts)	2013			2012			2013			2012
Numerator:
Net income	$	71,328		$	78,141		$	224,152		$	237,620
Dividends declared on preferred stock	(3,750		)	(2,040		)	(10,000		)	(6,120		)
Dividends, DERs and undistributed earnings allocated to participating securities	(230		)	(360		)	(880		)	(1,168		)
Issuance costs of redeemed preferred stock (1)	—			—			(3,947		)	—
Net income to common stockholders - basic and diluted	$	67,348		$	75,741		$	209,325		$	230,332

Denominator:
Weighted average common shares for basic and diluted earnings per share (2)	363,918			356,921			361,181			356,563
Basic and diluted earnings per share	$	0.19		$	0.21		$	0.58		$	0.65

(1) Issuance costs of redeemed preferred stock represent the original offering costs related to the Series A Preferred Stock, which was redeemed on May 16, 2013. (See Note 11)

(2) At September 30, 2013, the Company had an aggregate of 1.6 million equity instruments outstanding that were not included in the calculation of diluted EPS for the three and nine months ended September 30, 2013, as their inclusion would have been anti-dilutive. These equity instruments were comprised of 407,000 stock options with a weighted average exercise price of $10.23 and a weighted average remaining contractual life of 0.01 years, approximately 379,000 shares of restricted common stock with a weighted average grant date fair value of $7.73 and approximately 787,000 RSUs with a weighted average grant date fair value of $6.50. These equity instruments may have a dilutive impact on future EPS.