Earnings per Share

6 Months Ended

Jun. 30, 2012

Earnings per Share

Note 5. Earnings per Share

Reconciliation of the numerators and denominators of the earnings per share calculations —

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(In millions)	2012		2011		2012		2011
Net income available to common stockholders - Numerator basic	$	79	$	61	$	141	$	23
Preferred stock dividend requirements		7		7		15
Numerator diluted	$	86	$	68	$	156	$	23
Weighted-average number of shares outstanding - Denominator basic		147.9		146.7		147.7		146.0
Employee compensation-related shares, including stock options		2.0		3.4		2.3		3.7
Conversion of preferred stock		64.7		64.7		64.7
Denominator diluted		214.6		214.8		214.7		149.7

The share count for diluted earnings per share is computed on the basis of the weighted-average number of common shares outstanding plus the effects of dilutive common stock equivalents (CSEs) outstanding during the period. We excluded 1.4 million and 0.5 million CSEs from the calculations of diluted earnings per share for the quarters ended June 30, 2012 and 2011 and 1.0 million and 0.4 million CSEs from the calculations of diluted earnings per share for the six months ended June 30, 2012 and 2011 as the effect of including them would have been anti-dilutive.

We excluded 65.5 million CSEs related to the assumed conversion of the preferred stock for the six months ended June 30, 2011, along with the adjustment for the related dividend requirements, as the effect of the conversion would have been anti-dilutive for the period.