EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2012

EARNINGS PER SHARE

3. EARNINGS PER SHARE

The following table sets forth the computation of basic and diluted income per common share for the periods presented.

	Year Ended December 31,
	2012		2011		2010
	(In thousands, except per share data)
Numerator:
Net income	$	163,820	$	158,027	$	205,435
Denominator:
Basic common shares outstanding		96,384		99,281		101,678
Effect of dilutive securities:
Stock options and unvested restricted stock		1,113		1,095		930
Diluted common shares outstanding		97,497		100,376		102,608
Basic income per common share	$	1.70	$	1.59	$	2.02
Diluted income per common share	$	1.68	$	1.57	$	2.00

Options to purchase 0.6 million shares at December 31, 2010 were not included in the computation of diluted common shares outstanding as their exercise price exceeded the average market price of the Company’s common stock for the related reporting period. All outstanding options to purchase shares at December 31, 2012 and 2011 were included in the computation of diluted common shares outstanding.