Earnings Per Common Share

9 Months Ended

Sep. 30, 2016

EARNINGS PER COMMON SHARE

Reconciliations of the numerators and denominators used in the computations of basic and diluted earnings per common share were as follows, in millions:



	Three Months Ended September 30,				Nine Months Ended September 30,
	2016		2015		2016		2015
Numerator (basic and diluted):
Income from continuing operations	$	134	$	111	$	393	$	281
Less: Allocation to unvested restricted stock awards	2		2		5		4
Income from continuing operations attributable to common shareholders	132		109		388		277

Loss from discontinued operations, net	—		—		—		(1		)
Less: Allocation to unvested restricted stock awards	—		—		—		—
Loss from discontinued operations attributable to common shareholders	—		—		—		(1		)

Net income available to common shareholders	$	132	$	109	$	388	$	276

Denominator:
Basic common shares (based upon weighted average)	326		335		328		340
Add: Stock option dilution	3		3		4		4
Diluted common shares	329		338		332		344

For the three-month and nine-month periods ended September 30, 2016 and 2015, we allocated dividends and undistributed earnings to the unvested restricted stock awards.

Additionally, 609,000 common shares for the nine-month period ended September 30, 2016 and 4 million and 6 million common shares for the three-month and nine-month periods ended September 30, 2015, respectively, related to stock options were excluded from the computation of diluted earnings per common share due to their antidilutive effect.

On September 30, 2014, we announced that our Board of Directors authorized the repurchase of up to 50 million shares for retirement of our common stock in open-market transactions or otherwise, replacing the previous Board of Directors authorization established in 2007. In the first nine months of 2016, we repurchased and retired 8.3 million shares of our common stock (including 1.1 million shares to offset the dilutive impact of long-term stock awards granted in the first half of the year), for approximately $252 million of which $242 million was paid in cash during the first nine months of 2016. At September 30, 2016, we had 19.4 million shares remaining under the authorization.

On the basis of amounts paid (declared), cash dividends per common share were $0.095 ($0.100) and $0.285 ($0.290) for the three-month and nine-month periods ended September 30, 2016, respectively, and $0.090 ($0.095) and $0.270 ($0.275) for the three-month and nine-month periods ended September 30, 2015, respectively.