Net Income Per Common Share

6 Months Ended

Jun. 30, 2013

Net Income Per Common Share

Net Income Per Common Share

17.   Net Income Per Common Share

Basic net income per common share is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding during each period. Diluted net income per common share is computed by dividing net income available to common stockholders for the period by the weighted average number of common shares that would have been outstanding assuming the issuance of common shares for all potentially dilutive common shares outstanding during the reporting period.

The following is a reconciliation of the denominator of the basic net income per common share computation to the denominator of the diluted net income per common share computation:

	Three months ended		Six months ended
	June 30,		June 30,
	2013	2012	2013	2012
Weighted average shares used for the basic net income per share computation	195,574,014	132,592,939	183,714,191	132,643,698
Weighted average of Tau Operating Partnership common units convertible to common shares	317,022	-	280,240	-
Weighted average of Realty Income, L.P. common units convertible to common shares	23,497	-	11,813	-
Incremental shares from share-based compensation	185,077	235,601	159,456	141,515
Adjusted weighted average shares used for diluted net income per share computation	196,099,610	132,828,540	184,165,700	132,785,213
Unvested shares from share-based compensation that were anti-dilutive	16,600	16,200	16,600	16,400