The following is a summary of the results of operation for each of the quarters within the fiscal years ended May 31, 2015 and 2014:



May 31, 2015 (in thousands) ^{(1) (2) (3)}	First Quarter		Second Quarter		Third Quarter		Fourth Quarter

Revenue	$	1,102,077	$	1,123,379	$	1,108,847	$	1,142,583
Gross margin	$	477,946	$	481,424	$	475,307	$	486,660
Net income, continuing operations	$	109,791	$	103,446	$	93,636	$	101,204
Basic earnings per share, continuing operations	$	0.94	$	0.87	$	0.80	$	0.88
Diluted earnings per share, continuing operations	$	0.93	$	0.86	$	0.79	$	0.86
Weighted average number of shares outstanding	116,659		117,115		116,178		113,666



May 31, 2014 (in thousands) ^{(1) (2) (4)}	First Quarter		Second Quarter		Third Quarter		Fourth Quarter

Revenue	$	1,100,246	$	1,123,931	$	1,110,973	$	1,134,415
Gross margin	$	456,095	$	467,079	$	469,634	$	480,847
Net income, continuing operations	$	77,398	$	84,456	$	84,326	$	128,105
Basic earnings per share, continuing operations	$	0.63	$	0.70	$	0.70	$	1.05
Diluted earnings per share, continuing operations	$	0.63	$	0.69	$	0.69	$	1.04
Weighted average number of shares outstanding	122,130		119,907		119,913		119,541

⁽¹⁾ The figures for both fiscal 2015 and 2014 reflect the change in classification of Storage to discontinued operations within the Consolidated Statements of Income. See Note 17 entitled Discontinued Operations for additional information.

⁽²⁾ As a result of the Shredding Transaction, Cintas no longer includes Shredding results in its reported revenue, gross margin and operating income. After April 30, 2014, Cintas recognized its share of the Shred-it Partnership income, net of tax, in net income from continuing operations and diluted earnings per share ("EPS") from continuing operations. As a result of its investment in the Shred-it Partnership, Cintas recognized a net loss of $5.5 million and a net gain of $1.2 million during the years end May 31, 2015 and 2014, respectively.

⁽³⁾ During the fiscal 2015 first quarter, Cintas recognized a gain on the sale of stock in an equity method investment in the net amount of $13.6 million. In the fiscal 2015 first quarter, Cintas also recorded an net gain of $4.1 million, related to the Shredding Transaction completed in fiscal 2014 as a result of receiving certain additional proceeds. Finally, in the fourth quarter of fiscal 2015, Cintas recorded a net loss of $1.0 million related to the Shredding Transaction completed in fiscal 2014 due to the settlement of an outstanding Shredding-related legal claim.

⁽⁴⁾In accordance with GAAP, the fiscal 2014 Shredding revenue, gross margin, operating income, net income and EPS must continue to be included in the reported fiscal 2014 results because of Cintas' continuing ownership in the Shred-it Partnership. In addition, the fiscal 2014 results also included the following related to the Shredding Transaction: a $106.4 million gain on deconsolidation of Shredding, an asset impairment charge of $16.1 million and transaction costs of $28.5 million. All of these impacts were recorded in the fourth quarter except for $2.2 million of transaction costs that were recorded in the third quarter. Please see Note 9 entitled Acquisitions and Deconsolidations for additional information on the transaction.