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EARNINGS PER SHARE (Tables)
3 Months Ended
Sep. 30, 2016
Earnings Per Share [Abstract]  
Reconciliation of Common Shares Used for Basic and Diluted Earnings Per Share
The following table provides a reconciliation of common shares used for basic earnings per share and diluted earnings per share (in thousands, except per share amounts):
 
Three months ended September 30,
 
2016
2015
Numerator for basic earnings per share:
 
 
Net income attributable to stockholders
$
70,302

$
471,154

 
 
 
Numerator for diluted earnings per share:
 
 
Net income attributable to stockholders
$
70,302

$
471,154

Adjustment of redeemable limited partners' capital to redemption amount
(61,808
)
(466,801
)
Net income attributable to non-controlling interest in Premier LP
49,601

47,900

Net income
58,095

52,253

Tax effect on Premier Inc. net income (a)
(20,951
)
(16,658
)
Adjusted net income
$
37,144

$
35,595

 
 
 
Denominator for basic earnings per share: weighted average shares (b)
47,214

37,735

 
 
 
Denominator for diluted earnings per share:
 
 
Effect of dilutive securities: (c)
 
 
Stock options
302

311

Restricted stock
171

508

Performance share awards
466

928

Class B shares outstanding
94,809

106,078

Denominator for diluted earnings per share-adjusted:
 
 
Weighted average shares and assumed conversions
142,962

145,560

 
 
 
Basic earnings per share
$
1.49

$
12.49

Diluted earnings per share
$
0.26

$
0.24

(a)
Represents income tax expense related to Premier, Inc. retaining the portion of net income attributable to income from non-controlling interest in Premier, LP for the purpose of diluted earnings per share.
(b)
Weighted average number of common shares used for basic earnings per share excludes weighted average shares of non-vested stock options, non-vested restricted stock, non-vested performance share awards and Class B shares outstanding for the three months ended September 30, 2016 and 2015.
(c)
For the three months ended September 30, 2016 and 2015, the effect of 1,576 and 767 stock options, respectively, were excluded from the diluted weighted average shares outstanding as they have an anti-dilutive effect on the weighted average shares outstanding.
Schedule of Exchange Agreement
The following table presents certain information regarding the exchange of Class B common units and associated Class B common stock for Premier's Class A common stock in connection with the quarterly exchanges pursuant to the terms of the Exchange Agreement, including activity related to the Class A and Class B common units and Class A and Class B common stock through the date of the applicable quarterly exchange:
Quarterly Exchange by Member Owners
Number of Class B Common Units Exchanged
Number of Class B Common Shares Retired Upon Exchange
Number of Class B Common Units Outstanding After Exchange
Number of Class B Common Shares Outstanding After Exchange
Number of Class A Common Shares Outstanding After Exchange
Percentage of Combined Voting Power Class B/Class A Common Stock
August 1, 2016
1,323,654

1,323,654

94,809,069

94,809,069

47,365,528

67%/33%
October 31, 2016(a)(b)
5,047,528

5,047,528

89,761,541

89,761,541

50,085,904

64%/36%
(a)
As the quarterly exchange occurred on October 31, 2016, the impact of the exchange is not reflected in the condensed consolidated financial statements for the quarter ended September 30, 2016.
(b)
In connection with the October 31, 2016 exchange, 3,033,041 Class B common units were exchanged for cash and 2,014,487 Class B common units were exchanged for Class A common stock.