Income Per Common Share

9 Months Ended

Dec. 31, 2013

Earnings Per Share [Abstract]

INCOME PER COMMON SHARE

NOTE L – INCOME PER COMMON SHARE

Basic net income per common share excludes dilution and is calculated by dividing net income allocable to common shares by the weighted average number of common shares outstanding for the period. Diluted net income per common share is calculated by dividing net income allocable to common shares by the weighted average number of common shares, as adjusted for the potential dilutive effect of non-participating share-based awards.

The following table presents basic and diluted income per common share information for the three and nine months ended December 31, 2013 and 2012:

	Three Months Ended December 31,						Nine Months Ended December 31,
	2013			2012			2013			2012
	(in millions, except per share amounts)
Basic income per common share:
Net income	$	232		$	251		$	807		$	713
Less: Net income allocable to participating securities	(2		)	(3		)	(8		)	(8		)
Net income allocable to common shares	$	230		$	248		$	799		$	705
Weighted average common shares outstanding	446			452			448			458
Basic income per common share	$	0.52		$	0.55		$	1.78		$	1.54
Diluted income per common share:
Net income	$	232		$	251		$	807		$	713
Less: Net income allocable to participating securities	(2		)	(3		)	(8		)	(8		)
Net income allocable to common shares	$	230		$	248		$	799		$	705
Weighted average shares outstanding and common share equivalents:
Weighted average common shares outstanding	446			452			448			458
Weighted average effect of share-based payment awards	2			1			1			2
Denominator in calculation of diluted income per share	448			453			449			460
Diluted income per common share	$	0.51		$	0.55		$	1.78		$	1.53

For the three months ended December 31, 2013 and 2012, respectively, approximately 1 million and 4 million shares of Company common stock underlying restricted stock awards and options to purchase common stock were excluded from the calculation because their effect on income per share was anti-dilutive during the respective periods. Weighted average restricted stock awards of approximately 5 million and 5 million for the three months ended December 31, 2013 and 2012, respectively, were considered participating securities in the calculation of net income allocable to common stockholders.

For the nine months ended December 31, 2013 and 2012, respectively, approximately 2 million and 4 million shares of Company common stock underlying restricted stock awards and options to purchase common stock were excluded from the calculation because their effect on income per share was anti-dilutive during the respective periods. Weighted average restricted stock awards of approximately 5 million and 6 million for the nine months ended December 31, 2013 and 2012, respectively, were considered participating securities in the calculation of net income allocable to common stockholders.