Earnings Per Share (Notes)

6 Months Ended

Jul. 03, 2021

EARNINGS PER SHARE

The Company calculates earnings per share in accordance with FASB Accounting Standards Codification (“ASC”) Topic 260, Earnings Per Share (“ASC 260”). ASC 260 addresses whether instruments granted in share-based payment transactions are participating securities prior to vesting, and, therefore, need to be included in the earnings allocation in computing earnings per share under the two-class method. Under the guidance in ASC 260, the Company’s unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents, whether paid or unpaid, are participating securities and must be included in the computation of earnings per share pursuant to the two-class method.

The following table sets forth the computation of basic and diluted earnings per share.


	Quarter Ended				Year-To-Date Ended
(In millions, except per share data)	July 3, 2021		June 27, 2020		July 3, 2021		June 27, 2020
Numerator:
Net earnings (loss) attributable to Wolverine World Wide, Inc.	$	44.7	$	(1.6)	$	83.2	$	11.4
Adjustment for earnings allocated to non-vested restricted common stock	(0.7)		(0.2)		(1.4)		(0.4)


Net earnings (loss) used in calculating basic and diluted earnings per share	$	44.0	$	(1.8)	$	81.8	$	11.0
Denominator:
Weighted average shares outstanding	82.6		81.7		82.5		81.6
Adjustment for non-vested restricted common stock	(0.1)		(0.8)		(0.2)		(0.6)
Shares used in calculating basic earnings per share	82.5		80.9		82.3		81.0
Effect of dilutive stock options	1.1		—		1.1		0.5
Shares used in calculating diluted earnings per share	83.6		80.9		83.4		81.5
Net earnings (loss) per share:
Basic	$	0.53	$	(0.02)	$	0.99	$	0.14
Diluted	$	0.53	$	(0.02)	$	0.98	$	0.14

For the quarter and year-to-date ended July 3, 2021, 426,920 and 345,247 outstanding stock options, respectively, have not been included in the denominator for the computation of diluted earnings per share because they were anti-dilutive.

For the quarter and year-to-date ended June 27, 2020, 1,955,425 and 1,183,907 outstanding stock options, respectively, have not been included in the denominator for the computation of diluted earnings per share because they were anti-dilutive.