12.	Per Share Calculation

Basic earnings per

share is computed by dividing net income (loss) (the “numerator”) by the weighted-average number of common shares outstanding, adjusted for nonvested shares of restricted stock (the “denominator”) for the period. Computing diluted earnings per share is similar to computing basic earnings per share, except that the denominator is increased to include the dilutive effects of options and nonvested shares of restricted stock, and, for the

first

quarter of fiscal

2017,

common shares issuable upon exchange of our Senior Exchangeable Notes issued as part of our

6.0%

Exchangeable Note Units. Any options that have an exercise price greater than the average market price are considered to be anti-dilutive and are excluded from the diluted earnings per share calculation.

All outstanding nonvested

shares that contain nonforfeitable rights to dividends or dividend equivalents that participate in undistributed earnings with common stock are considered participating securities and are included in computing earnings per share pursuant to the

two

-class method. The

two

-class method is an earnings allocation formula that determines earnings per share for each class of common stock and participating securities according to dividends or dividend equivalents and participation rights in undistributed earnings in periods when we have net income. The Company’s restricted common stock (“nonvested shares”) are considered participating securities.

There were

million and

4.2

million incremental shares attributed to nonvested stock and outstanding options to purchase common stock for the

three

months ended

January 31, 2018 and January 31, 2017, respectively, which were

excluded from the computation of diluted earnings per share because we had a net loss for the period.

Also, for the

three

months ended

January 31, 2018

and

2017,

3.3

million and

10.0

million shares, respectively, of common stock issuable upon the exchange of our senior exchangeable notes (which were issued in fiscal

2012

) were excluded from the computation of diluted earnings per share because the Company had a net loss for the period.

In addition, shares related to out-of-the money stock options that could potentially dilute basic earnings per share in the future that were

not

included in the computation of diluted earnings per share were

3.2

million and

4.8

mill

ion for the

three

months ended

January 31, 2018

and

2017,

respectively, because to do so would have been anti-dilutive for the periods presented.