Net Income Per Common Share

12 Months Ended

Dec. 31, 2020

Basic earnings per share are computed based on the weighted average number of common shares outstanding. Diluted earnings per share are computed based on the weighted average number of common and dilutive potential common shares outstanding using the treasury stock method. The table shows calculations for basic and diluted earnings per share:


(In millions, except per share data)	Years ended December 31,
	2020		2019		2018
Numerator:
Net income—basic and diluted	$	1,216	$	1,997	$	287
Denominator:
Basic weighted-average common shares outstanding	161.2		163.2		163.2
Effect of share-based awards:
Stock options	0.7		1.2		0.8
Nonvested shares	0.5		0.7		0.5
Diluted weighted-average shares	162.4		165.1		164.5
Earnings per share:
Basic	$	7.55	$	12.24	$	1.76
Diluted	7.49		12.10		1.75
Number of anti-dilutive share-based awards	1.4		—		1.3

The sources of dilution of our common shares are certain equity-based awards as discussed in Note 17, Share-Based Associate Compensation Plans. The above table includes the number of anti-dilutive share-based awards at year-end 2020, 2019 and 2018. We did not include these share-based awards in the computation of net income per common share (diluted) because their exercise would have anti-dilutive effects.