11.	NET INCOME PER SHARE AND STOCKHOLDERS’ EQUITY

The Company is required to apply the two-class method to compute both basic and diluted net income per share. The two-class method is an earnings allocation formula that treats participating securities as having rights to earnings that would otherwise have been available to common stockholders.

The following table presents information necessary to calculate net income per share for the periods presented, as well as potentially dilutive securities excluded from the weighted average number of diluted common shares outstanding because their inclusion would have been anti-dilutive:

	Three Months Ended June 30,
(In thousands, except per share data)	2017			2016
NET INCOME PER SHARE—BASIC:
Net income attributable to ADS	$	17,742		$	18,273
Adjustments for:
Accretion of Redeemable noncontrolling interest		—			(362	)
Dividends to Redeemable convertible preferred stockholders		(489	)		(425	)
Dividends paid to unvested restricted stockholders		(19	)		(30	)
Net income available to common stockholders and participating securities		17,234			17,456
Undistributed income allocated to participating securities		(1,429	)		(1,524	)
Net income available to common stockholders – Basic	$	15,805		$	15,932
Weighted average number of common shares outstanding – Basic		55,303			54,071
Net income per common share – Basic	$	0.29		$	0.29
NET INCOME PER SHARE—DILUTED:
Net income available to common stockholders – Diluted	$	15,805		$	15,932
Weighted average number of common shares outstanding – Basic		55,303			54,071
Assumed exercise of stock options		707			857
Weighted average number of common shares outstanding – Diluted		56,010			54,928
Net income per common share – Diluted	$	0.28		$	0.29
Potentially dilutive securities excluded as anti-dilutive		6,459			6,444

Stockholders’ Equity – During the three months ended June 30, 2017, the Company repurchased 400,000 shares of common stock at a cost of $7.9 million. The repurchases were made under the Board of Directors authorization in February 2017 to repurchase up to $50 million of ADS common stock in accordance with applicable securities laws. The repurchase program does not obligate us to acquire any particular amount of common stock, and may be suspended or terminated at any time at the Company’s discretion.