9. Earnings (Loss) per Share

Basic earnings (loss) per common share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the year. For diluted earnings (loss) per common share, the denominator also includes the dilutive effect of outstanding restricted stock awards and restricted stock units determined using the treasury stock method. For years in which net losses are generated, the dilutive potential common shares are excluded from the calculation of diluted earnings per share as the effect would be anti-dilutive.

The following table sets forth the computation of basic and diluted earnings (loss) per share (in thousands, except per share amounts):


	Year Ended December 31,
	2013			2012			2011
Numerators:
Consolidated income from continuing operations	$	8,850		$	22,474		$	21,676
Less: Income attributable to noncontrolling interest		(22	)		(40	)		(28	)

Income from continuing operations attributable to GSI Group Inc.		8,828			22,434			21,648
Income (loss) from discontinued operations.		(1,519	)		(2,896	)		7,325

Net income attributable to GSI Group Inc.	$	7,309		$	19,538		$	28,973

Denominators:
Weighted average common shares outstanding—basic		34,073			33,775			33,481
Dilutive potential common shares		323			161			108

Weighted average common shares outstanding—diluted		34,396			33,936			33,589

Antidilutive common shares excluded from above		246			244			132

Basic Earnings (Loss) per Common Share:
From continuing operations	$	0.26		$	0.66		$	0.65
From discontinued operations	$	(0.05	)	$	(0.08	)	$	0.22
Basic earnings per share attributable to GSI Group Inc.	$	0.21		$	0.58		$	0.87

Diluted Earnings (Loss) per Common Share:
From continuing operations	$	0.26		$	0.66		$	0.64
From discontinued operations	$	(0.05	)	$	(0.08	)	$	0.22
Diluted earnings per share attributable to GSI Group Inc.	$	0.21		$	0.58		$	0.86

Common Stock Repurchases

In October 2013, the Company’s Board of Directors authorized a share repurchase plan under which the Company may repurchase outstanding shares of the Company’s common stock up to an aggregate amount of $10.0 million. The shares may be repurchased from time to time, at the Company’s discretion, based on ongoing assessment of the capital needs of the business, the market price of the Company’s common stock, and general market conditions. Shares may also be repurchased through an accelerated stock purchase agreement, on the open market or in privately negotiated transactions in accordance with applicable federal securities laws. Repurchases may be made under certain SEC regulations, which would permit common stock to be purchased when the Company would otherwise be prohibited from doing so under insider trading laws. The share repurchase plan does not obligate the Company to acquire any particular amount of common stock. No time limit was set for the completion of the share repurchase program, and the program may be suspended or discontinued at any time. In December 2013, the Company repurchased 50 thousand shares of its common stock in the open market for $0.5 million at an average price of $10.49.