Earnings Per Share

9 Months Ended

Sep. 30, 2019

EARNINGS PER SHARE

Unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and are to be included in the computation of earnings per share (“EPS”) under the two-class method. Our restricted stock awards are considered participating securities because they contain non-forfeitable rights to dividends. As the number of shares granted under such awards that have not yet vested is immaterial, all earnings per share amounts reflect such shares as if they were fully vested shares and the disclosures associated with the two-class method are not presented. Restricted stock unit (“RSU”) awards are not considered participating securities as they do not contain non-forfeitable rights to dividends.

Basic EPS is computed by dividing net income by the weighted average number of common shares outstanding for the period, including outstanding unvested restricted stock awards and vested RSU awards. Diluted EPS is computed by dividing net income by the weighted average number of shares outstanding, noted above, adjusted for the dilutive effect of stock options and unvested RSU awards.

The following table presents the calculation of basic and diluted EPS:



	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2019			2018			2019			2018
Net income from continuing operations	$	100.0		$	112.3		$	293.1		$	303.0
Income (loss) from discontinued operations, net of income taxes	(0.5		)	(0.3		)	(0.8		)	0.3
Net income	$	99.5		$	112.0		$	292.3		$	303.3

Weighted average common shares outstanding used in calculating basic EPS	89.9			90.4			90.1			91.1
Effect of dilutive stock options and unvested RSUs	0.5			0.4			0.3			0.5
Weighted average common shares outstanding used in calculating diluted EPS	90.4			90.8			90.4			91.6

Basic EPS amounts⁽¹⁾:
Continuing operations	$	1.11		$	1.24		$	3.25		$	3.33
Discontinued operations	$	(0.01	)	$	—		$	(0.01	)	$	—
Net income	$	1.11		$	1.24		$	3.24		$	3.33

Diluted EPS amounts⁽¹⁾:
Continuing operations	$	1.11		$	1.24		$	3.24		$	3.31
Discontinued operations	$	(0.01	)	$	—		$	(0.01	)	$	—
Net income	$	1.10		$	1.23		$	3.23		$	3.31

⁽¹⁾ Earnings per share amounts are calculated discretely and therefore may not add up to the total due to rounding.

A summary of anti-dilutive equity instruments excluded from the computation of diluted earnings per share is as follows:



	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2019	2018	2019	2018
Anti-dilutive equity instruments excluded from the computation of diluted earnings per share	2.2	2.4	2.5	2.0