Earnings Per Share

3 Months Ended

Mar. 31, 2020

EARNINGS (LOSS) 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 (loss) per share 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 (loss) 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 earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding for the period, including outstanding unvested restricted stock awards and vested RSU awards. Diluted earnings per share 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. For the three months ended March 31, 2020, stock options and unvested RSU awards were not included in the computation of diluted loss per share because we reported a net loss from continuing operations for this period, and the effect of their inclusion would be anti-dilutive.

The following table presents the calculation of basic and diluted earnings (loss) per share:



	Three Months Ended
	March 31,
	2020			2019
Net income (loss) from continuing operations	$	(232.2	)	$	92.1
Loss from discontinued operations, net of income taxes	(0.1		)	(0.1		)
Net income (loss)	$	(232.3	)	$	92.0

Basic weighted average common shares outstanding	90.0			90.5
Dilutive effect of stock options and unvested RSUs	—			0.2
Diluted weighted average common shares outstanding	90.0			90.7

Basic earnings (loss) per share amounts⁽¹⁾:
Continuing operations	$	(2.58	)	$	1.02
Discontinued operations	$	—		$	—
Net income (loss)	$	(2.58	)	$	1.02

Diluted earnings (loss) per share amounts⁽¹⁾:
Continuing operations	$	(2.58	)	$	1.02
Discontinued operations	$	—		$	—
Net income (loss)	$	(2.58	)	$	1.01

⁽¹⁾ Earnings (loss) 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 (loss) per share is as follows:



	Three Months Ended
	March 31,
	2020	2019
Anti-dilutive equity instruments excluded from the computation of diluted earnings (loss) per share	3.0	2.8