Earnings Per Share

9 Months Ended

Sep. 30, 2011

Earnings Per Share

Earnings Per Share

(12) EARNINGS PER SHARE

PHI's basic and diluted earnings per share (EPS) calculations are shown below:

	Three Months Ended  September 30,
	2011		2010
	(millions of dollars, except per share data)
Income (Numerator):
Net income from continuing operations	$	80	$	21
Net loss from discontinued operations		—		(4	)
Net income	$	80	$	17
Shares (Denominator) (in millions):
Weighted average shares outstanding for basic computation:
Average shares outstanding		226		224
Adjustment to shares outstanding		—		—
Weighted Average Shares Outstanding for Computation of Basic Earnings Per Share of Common Stock		226		224
Net effect of potentially dilutive shares (a)		—		—
Weighted Average Shares Outstanding for Computation of Diluted Earnings Per Share of Common Stock		226		224
Basic and diluted earnings per share of common stock from continuing operations	$	0.35	$	0.09
Basic and diluted loss per share of common stock from discontinued operations		—		(0.01	)
Basic and diluted earnings per share	$	0.35	$	0.08

(a) The number of options to purchase shares of common stock that were excluded from the calculation of diluted EPS because they were anti-dilutive was 119,766 and 280,266 for the three months ended September 30, 2011 and 2010, respectively.

	Nine Months Ended September 30,
	2011		2010
	(millions of dollars, except per share data)
Income (Numerator):
Net income from continuing operations	$	237	$	125
Net income (loss) from discontinued operations		1		(126	)
Net income (loss)	$	238	$	(1	)
Shares (Denominator) (in millions):
Weighted average shares outstanding for basic computation:
Average shares outstanding		226		223
Adjustment to shares outstanding		—		—
Weighted Average Shares Outstanding for Computation of Basic Earnings Per Share of Common Stock		226		223
Net effect of potentially dilutive shares (a)		—		—
Weighted Average Shares Outstanding for Computation of Diluted Earnings Per Share of Common Stock		226		223
Basic and diluted earnings per share of common stock from continuing operations	$	1.05	$	0.56
Basic and diluted loss per share of common stock from discontinued operations		—		(0.56	)
Basic and diluted earnings per share	$	1.05	$	—

(a) The number of options to purchase shares of common stock that were excluded from the calculation of diluted EPS as they are considered to be anti-dilutive was 119,766 and 280,266 for the nine months ended September 30, 2011 and 2010, respectively.