NOTE 2: LOSS PER SHARE AND STOCKHOLDERS' EQUITY

LOSS PER SHARE – Basic and diluted loss per share is computed using the two-class method. The two-class method is an earnings allocation formula that determines net income per share for each class of common stock and participating security according to dividends declared and participation rights in undistributed earnings. Per share amounts are computed by dividing net income from continuing operations attributable to common shareholders by the weighted average shares outstanding during each period. The dilutive effect of potential common shares is included in diluted earnings per share except in those periods with a loss from continuing operations. Diluted earnings per share excludes the impact of shares of common stock issuable upon the lapse of certain restrictions or the exercise of options to purchase 4.6 million shares for the three and six months ended October 31, 2016, and 5.0 million shares for the three and six months ended October 31, 2015, as the effect would be antidilutive due to the net loss from continuing operations during those periods.

The computations of basic and diluted earnings per share from continuing operations are as follows:



(in 000s, except per share amounts)
	Three months ended October 31,						Six months ended October 31,
	2016			2015			2016			2015
Net loss from continuing operations attributable to shareholders	$	(143,415	)	$	(142,518	)	$	(264,441	)	$	(239,023	)
Amounts allocated to participating securities	(143		)	(102		)	(267		)	(204		)
Net loss from continuing operations attributable to common shareholders	$	(143,558	)	$	(142,620	)	$	(264,708	)	$	(239,227	)

Basic weighted average common shares	215,535			266,267			218,009			271,016
Potential dilutive shares	—			—			—			—
Dilutive weighted average common shares	215,535			266,267			218,009			271,016

Loss per share from continuing operations attributable to common shareholders:
Basic	$	(0.67	)	$	(0.54	)	$	(1.21	)	$	(0.88	)
Diluted	(0.67		)	(0.54		)	(1.21		)	(0.88		)

The weighted average shares outstanding for the three and six months ended October 31, 2016 decreased to 215.5 million and 218.0 million, respectively, from 266.3 million and 271.0 million for the three and six months ended October 31, 2015, respectively, primarily due to share repurchases completed in the prior and current year. During the six months ended October 31, 2016, we purchased and immediately retired 9.6 million shares at an aggregate cost of $217.0 million (average price of $22.51 per share). During the six months ended October 31, 2015, we purchased and immediately retired 40.5 million shares at an aggregate cost of $1.5 billion (average price of $37.00 per share). The cost of shares retired was allocated to the components of stockholders’ equity as follows:



	(in 000s)
Six months ended October 31,	2016		2015
Common stock	$	96	$	405
Additional paid-in-capital	5,784		24,325
Retained earnings	211,140		1,475,270
Total	$	217,020	$	1,500,000

STOCK-BASED COMPENSATION – In addition to the shares repurchased as discussed above, during the six months ended October 31, 2016, we acquired 0.2 million shares of our common stock at an aggregate cost of $5.6 million. These shares represent shares swapped or surrendered to us in connection with the vesting or exercise of stock-based awards. During the six months ended October 31, 2015, we acquired 0.6 million shares at an aggregate cost of $17.8 million for similar purposes.

During the six months ended October 31, 2016 and 2015, we issued 0.9 million and 1.8 million shares of common stock, respectively, due to the vesting or exercise of stock-based awards.

During the six months ended October 31, 2016, we granted equity awards equivalent to 1.2 million shares under our stock-based compensation plans, consisting primarily of nonvested units. Nonvested units generally either vest over a three-year period with one-third vesting each year or cliff vest at the end of a three-year period, although the Compensation Committee may in limited circumstances approve grants with a modified vesting schedule. Stock-based compensation expense of our continuing operations totaled $6.9 million and $12.5 million for the three and six months ended October 31, 2016, respectively, and $7.9 million and $13.9 million for the three and six months ended October 31, 2015, respectively. As of October 31, 2016, unrecognized compensation cost for stock options totaled $0.1 million, and for nonvested shares and units totaled $41.2 million.