The table below illustrates the reconciliation of the earnings (loss) and number of shares used in our calculation of basic and diluted earnings (loss) per share.


	Twelve Weeks Ended					Thirty-Six Weeks Ended
*(in millions, except per share amounts)*	September 7, 2012 ⁽¹⁾		September 9, 2011			September 7, 2012 ⁽¹⁾		September 9, 2011
Computation of Basic Earnings (Loss) Per Share
Net income (loss)	$	6	$	(221	)	$	23	$	(186	)
Weighted average shares outstanding		34.4		33.7			34.2		33.7

Basic earnings (loss) per share	$	0.18	$	(6.57	)	$	0.68	$	(5.52	)

Computation of Diluted Earnings (Loss) Per Share
Net income (loss)	$	6	$	(221	)	$	23	$	(186	)

Weighted average shares outstanding		34.4		33.7			34.2		33.7
Effect of dilutive securities
Employee stock options and SARs		1.1		—			1.0		—
Restricted stock units		0.7		—			0.8		—

Shares for diluted earnings (loss) per share		36.2		33.7			36.0		33.7

Diluted earnings (loss) per share	$	0.17	$	(6.57	)	$	0.65	$	(5.52	)

⁽¹⁾

Approximately 84,433 shares of common stock issuable upon the vesting of certain performance-based awards were not included in the computations of diluted earnings (loss) per share for the third quarter of 2012 and for the thirty-six weeks ended September 7, 2012, because the performance conditions required for such shares to vest were not achieved by the end of the reporting period.