EX-11.0 12 dex110.htm COMPUTATION OF INCOME PER SHARE Computation of Income per Share

EXHIBIT 11.0

(Page 1 of 2)

 

MATTEL, INC. AND SUBSIDIARIES

 

COMPUTATION OF INCOME (LOSS) PER COMMON AND COMMON EQUIVALENT SHARE

 

(In thousands, except per share amounts)

 

    

For the Year Ended December 31, (a)(b)

  

BASIC

   

2002

     

2001

     

2000

     

1999

     

1998

  

Income from continuing operations

   

$

455,042

 

   

$

310,920

 

   

$

170,177

 

   

$

108,387

 

   

$

328,253

 

Deduct: dividends on convertible preferred stock

   

 

—  

 

   

 

—  

 

   

 

—  

 

   

 

(3,980

)

   

 

(7,960

)

    
  
  
  
  

Income available to common stockholders

   

 

455,042

 

   

 

310,920

 

   

 

170,177

 

   

 

104,407

 

   

 

320,293

 

Gain (loss) from discontinued operations, net of tax

   

 

27,253

 

   

 

—  

 

   

 

(601,146

)

   

 

(190,760

)

   

 

(122,200

)

Cumulative effect of change in accounting principles, net of tax

   

 

(252,194

)

   

 

(12,001

)

   

 

—  

 

   

 

—  

 

   

 

—  

 

    
  
  
  
  

Net income (loss) applicable to common shares

   

$

230,101

 

   

$

298,919

 

   

$

(430,969

)

   

$

(86,353

)

   

$

198,093

 

    
  
  
  
  

Applicable Shares for Computation of Income (Loss) per Share:

                                             

Weighted average common shares outstanding

   

 

435,790

 

   

 

430,983

 

   

 

426,166

 

   

 

414,186

 

   

 

390,210

 

    
  
  
  
  

Basic Income (Loss) Per Common Share:

                                             

Income from continuing operations

   

$

1.04

 

   

$

0.72

 

   

$

0.40

 

   

$

0.25

 

   

$

0.82

 

Gain (loss) from discontinued operations

   

 

0.06

 

   

 

—  

 

   

 

(1.41

)

   

 

(0.46

)

   

 

(0.31

)

Cumulative effect of change in accounting principles

   

 

(0.58

)

   

 

(0.03

)

   

 

—  

 

   

 

—  

 

   

 

—  

 

    
  
  
  
  

Net income (loss) per common share

   

$

0.52

 

   

$

0.69

 

   

$

(1.01

)

   

$

(0.21

)

   

$

0.51

 

    
  
  
  
  

 

(a)   Consolidated financial information for 1998 and 1999 has been restated retroactively for the effects of the May 1999 merger with The Learning Company, Inc. (“Learning Company”), accounted for as a pooling of interests.  As more fully described in Note 14 to the Consolidated Financial Statements, the Consumer Software segment, which was comprised primarily of Learning Company, was reported as a discontinued operation effective March 31, 2000, and the consolidated financial statements were reclassified to segregate the net investment in, and the liabilities and operating results of, the Consumer Software segment.

 

(b)   Per share data reflect the retroactive effect of the merger with Learning Company in 1999.

EXHIBIT 11.0

(Page 2 of 2)

 

MATTEL, INC. AND SUBSIDIARIES

 

COMPUTATION OF INCOME (LOSS) PER COMMON AND COMMON EQUIVALENT SHARE

 

(In thousands, except per share amounts)

 

    

For the Year Ended December 31, (a)(b)

  

DILUTED

   

2002

     

2001

     

2000

     

1999

     

1998

  

Income from continuing operations

   

$

455,042

 

   

$

310,920

 

   

$

170,177

 

   

$

108,387

 

   

$

328,253

 

Deduct: dividends on convertible preferred stock

   

 

—  

 

   

 

—  

 

   

 

—  

 

   

 

(3,980

)

   

 

(7,960

)

    
  
  
  
  

Income available to common stockholders

   

 

455,042

 

   

 

310,920

 

   

 

170,177

 

   

 

104,407

 

   

 

320,293

 

Gain (loss) from discontinued operations, net of tax

   

 

27,253

 

   

 

—  

 

   

 

(601,146

)

   

 

(190,760

)

   

 

(122,200

)

Cumulative effect of change in accounting principles net of tax

   

 

(252,194

)

   

 

(12,001

)

   

 

—  

 

   

 

—  

 

   

 

—  

 

    
  
  
  
  

Net income (loss) applicable to common shares

   

$

230,101

 

   

$

298,919

 

   

$

(430,969

)

   

$

(86,353

)

   

$

198,093

 

    
  
  
  
  

Applicable Shares for Computation of Income (Loss) Per Share:

                                             

Weighted average common shares outstanding

   

 

435,790

 

   

 

430,983

 

   

 

426,166

 

   

 

414,186

 

   

 

390,210

 

Weighted average common equivalent shares arising from:

                                             

Dilutive stock options

   

 

5,355

 

   

 

4,765

 

   

 

960

 

   

 

3,920

 

   

 

8,501

 

Assumed conversion of convertible preferred stock

   

 

—  

 

   

 

—  

 

   

 

—  

 

   

 

6,510

 

   

 

18,000

 

Stock subscription and other warrants

   

 

147

 

   

 

418

 

   

 

—  

 

   

 

606

 

   

 

4,812

 

Nonvested stock

   

 

—  

 

   

 

—  

 

   

 

—  

 

   

 

59

 

   

 

184

 

    
  
  
  
  

Weighted average number of common and common equivalent shares

   

 

441,292

 

   

 

436,166

 

   

 

427,126

 

   

 

425,281

 

   

 

421,707

 

    
  
  
  
  

Diluted Income (Loss) Per Common Share:

                                             

Income from continuing operations

   

$

1.03

 

   

$

0.71

 

   

$

0.40

 

   

$

0.25

 

   

$

0.76

 

Gain (loss) from discontinued operations

   

 

0.06

 

   

 

—  

 

   

 

(1.41

)

   

 

(0.45

)

   

 

(0.29

)

Cumulative effect of change in accounting principles

   

 

(0.57

)

   

 

(0.03

)

   

 

—  

 

   

 

—  

 

   

 

—  

 

    
  
  
  
  

Net income (loss) per common share

   

$

0.52

 

   

$

0.68

 

   

$

(1.01

)

   

$

(0.20

)

   

$

0.47

 

    
  
  
  
  

 

(a)   Consolidated financial information for 1998 and 1999 has been restated retroactively for the effects of the May 1999 merger with Learning Company, accounted for as a pooling of interests.  As more fully described in Note 14 to the Consolidated Financial Statements, the Consumer Software segment, which was comprised primarily of Learning Company, was reported as a discontinued operation effective March 31, 2000, and the consolidated financial statements were reclassified to segregate the net investment in, and the liabilities and operating results of, the Consumer Software segment.

 

(b)   Per share data reflect the retroactive effect of the merger with Learning Company in 1999.