Net Income per Common Share

6 Months Ended

Jun. 28, 2013

Net Income per Common Share [Abstract]

Net Income per Common Share

2. Net Income per Common Share

Basic net income per common share is computed by dividing net income by the weighted average number of common shares outstanding during the period. With regard to common stock subject to vesting requirements and restricted stock units issued to the Company’s employees and non-employee members of its Board of Directors, the calculation includes only the vested portion of such stock and units.

Dilutive net income per common share is computed by dividing net income by the weighted average number of common shares outstanding, increased by the assumed conversion of other potentially dilutive securities during the period.

The following table reconciles basic and dilutive weighted average common shares:

	Quarter Ended				Six Months Ended
	June 28,		June 29,		June 28,		June 29,
	2013		2012		2013		2012
Basic weighted average common shares outstanding		30,532,021		29,290,450		30,411,897		33,907,128
Effect of dilutive securities:
Unvested restricted stock units and common stock subject to
vesting requirements issued to employees and non-employees		1,707,857		2,159,353		1,435,012		1,759,255
Common stock issuable upon the exercise of stock options		11,175		58,934		15,104		57,133
Dilutive weighted average common shares outstanding		32,251,053		31,508,737		31,862,013		35,723,516

Approximately 0.9 million and 3.8 million shares of common stock equivalents were excluded from the computations of diluted net income per common share for the quarters ended June 28, 2013 and June 29, 2012, respectively, as their inclusion would have had an anti-dilutive effect on diluted net income per common share. This decrease is attributable to the conversion of 2.9 million performance-based options, granted during the quarter ended March 30, 2012, into stock appreciation rights units (“SARs”), which will be settled in cash, Company stock or any combination thereof, at the Company’s discretion (see Note 6 for further detail).