
Note 9		Earnings Per Share

The components of earnings per share were:


	Three Months Ended June 30						Six Months Ended June 30
(Dollars and Shares in Millions, Except Per Share Data)	2018			2017			2018			2017
Net income attributable to U.S. Bancorp	$	1,750		$	1,500		$	3,425		$	2,973
Preferred dividends		(64	)		(64	)		(134	)		(133	)
Impact of preferred stock redemption (a)		–			–			–			(10	)
Earnings allocated to participating stock awards		(8	)		(6	)		(16	)		(13	)
Net income applicable to U.S. Bancorp common shareholders	$	1,678		$	1,430		$	3,275		$	2,817
Average common shares outstanding		1,642			1,684			1,647			1,689
Net effect of the exercise and assumed purchase of stock awards		4			6			4			6
Average diluted common shares outstanding		1,646			1,690			1,651			1,695
Earnings per common share	$	1.02		$	.85		$	1.99		$	1.67
Diluted earnings per common share	$	1.02		$	.85		$	1.98		$	1.66

(a)

Represents stock issuance costs originally recorded in preferred stock upon the issuance of the Company’s Series G Preferred Stock that were reclassified to retained earnings on the date the Company announced its intent to redeem the outstanding shares.

Options outstanding at June 30, 2018, to purchase 1 million common shares for the three months and six months ended June 30, 2018, and outstanding at June 30, 2017, to purchase 1 million common shares for the three months and six months ended June 30, 2017, were not included in the computation of diluted earnings per share because they were antidilutive.