Net Income Per Common Share

12 Months Ended

Dec. 31, 2011

Net Income Per Common Share [Abstract]

Net Income Per Common Share

NOTE 3 — NET INCOME PER COMMON SHARE

Basic net income per common share is computed by dividing net income, after deducting preferred share dividends and adjusting for the impact of unvested stock awards deemed to be participating securities, by the weighted average number of common shares outstanding, calculated excluding unvested stock awards. Diluted net income per common share is computed by dividing net income, after deducting dividends on convertible preferred shares when such shares are antidilutive and similar adjustments for participating securities, by the weighted average number of common shares and common share equivalents outstanding calculated excluding unvested stock awards, giving effect to equity awards and convertible preferred shares when such awards and shares are dilutive. For calculation purposes the Series A and B preferred shares are considered dilutive whenever basic net income per common share exceeds each Series' dividend divided by the conversion rate applicable for that period. Unvested stock awards that are deemed participating securities are included in the calculation of diluted net income per share, if dilutive, under either the two class method or the treasury stock method, depending upon which method produces the more dilutive result.

Components of the computation of basic and diluted net income per common share were as follows (dollars in thousands, except per share amounts):

	Year Ended December 31
	2011			2010			2009
Basic net income per common share
Numerator for basic net income per common share:
Net income	$	160,204		$	126,896		$	129,263
Series A and B preferred share dividends		(20,369	)		(20,233	)		(20,239	)
Unvested stock award participation in earnings		(579	)		(594	)		(554	)
	$	139,256		$	106,069		$	108,470
Denominator for basic net income per common share:
Weighted average common shares outstanding		79,784			69,948			65,418
Average unvested stock awards outstanding		(468	)		(396	)		(373	)
		79,316			69,552			65,045
	$	1.76		$	1.53		$	1.67
Diluted net income per common share
Numerator for diluted net income per common share:
Net income	$	160,204		$	126,896		$	129,263
Dividends on antidilutive convertible preferred shares		(20,071	)		(19,932	)		(19,932	)
Unvested stock award participation in earnings		(579	)		(594	)		(555	)
	$	139,554		$	106,370		$	108,776
Denominator for diluted net income per common share:
Weighted average common shares outstanding		79,784			69,948			65,418
Average unvested stock awards outstanding		(468	)		(396	)		(373	)
Net effect of dilutive stock and option awards		71			39			100
Net effect of dilutive convertible preferred shares		309			310			304
		79,696			69,901			65,449
	$	1.75		$	1.52		$	1.66

Potentially dilutive securities excluded from the computation of net income per share because the effect of inclusion was antidilutive during the indicated periods were as follows (in thousands):

	Year Ended December 31
	2011		2010		2009
Antidilutive convertible preferred shares		16,184		15,819		15,819
Antidilutive equity awards excludable under the treasury stock method:
Shares issuable under option awards		40		40		40
Unvested stock awards		–		240		111