Basic net income per share is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted net income per share reflects the potential dilution of securities by including other common stock equivalents, including stock options and restricted stock units, in the weighted-average number of common shares outstanding for a period, if dilutive.

The table below sets forth the reconciliation of the denominator of the net income per share calculation (in thousands):


	Three Months Ended September 30				Nine Months Ended September 30
	2011		2010		2011		2010
Shares used in computing basic net income per share		84,956		90,540		88,243		89,883
Dilutive effect of stock options and restricted stock units ⁽¹⁾		1,403		2,621		2,044		2,639

Shares used in computing diluted net income per share		86,359		93,161		90,287		92,522

(1)

Options to purchase 10.0 million and 7.2 million shares of common stock were outstanding during the three months ended September 30, 2011 and 2010, respectively, and 6.7 million and 6.0 million shares of common stock during the nine months ended September 30, 2011 and 2010, respectively, were outstanding but were not included in the computation of diluted net income per share as inclusion would have been anti-dilutive.