Earnings Per Common Share

6 Months Ended

Dec. 31, 2013

Earnings Per Common Share

Earnings Per Common Share

2.         Earnings Per Common Share

The Company calculates basic and diluted earnings per share using the two class method.  Under the two class method, earnings are allocated to common stock and participating securities (nonvested restricted shares and units that receive non-forfeitable dividends) according to their participation rights in dividends and undistributed earnings.  The earnings available to each class of stock are divided by the weighted average number of shares for the period in each class.

The calculations of basic and diluted earnings per common share for the three months and six months ended December 31, 2013 and 2012 were as follows:

	Three Months Ended				Six Months Ended
	December 31,				December 31,
(in millions, except per share data)	2013		2012		2013		2012
Net income attributable to Carpenter	$	29.5	$	33.0	$	64.1	$	72.2
Less: earnings and dividends allocated to participating securities	(0.1)		(0.2)		(0.2)		(0.4)
Earnings available to Carpenter common stockholders used in calculation of basic earnings per share	$	29.4	$	32.8	$	63.9	$	71.8
Weighted average number of common shares outstanding, basic	53.2		52.9		53.2		52.8
Basic earnings per common share	$	0.55	$	0.62	$	1.20	$	1.36
Net income attributable to Carpenter	$	29.5	$	33.0	$	64.1	$	72.2
Less: earnings and dividends allocated to participating securities	(0.1)		(0.2)		(0.2)		(0.4)
Earnings available to Carpenter common stockholders used in calculation of diluted earnings per share	$	29.4	$	32.8	$	63.9	$	71.8
Weighted average number of common shares outstanding, basic	53.2		52.9		53.2		52.8
Effect of shares issuable under share based compensation plans	0.4		0.4		0.4		0.4
Weighted average number of common shares outstanding, diluted	53.6		53.3		53.6		53.2
Diluted earnings per common share	$	0.55	$	0.62	$	1.19	$	1.35

The following awards issued under share-based compensation plans were excluded from the above calculations of diluted earnings per share because their effects were anti-dilutive:

	Three Months Ended		Six Months Ended
	December 31,		December 31,
(in millions)	2013	2012	2013	2012
Stock options	0.0	0.3	0.1	0.3