XML 86 R21.htm IDEA: XBRL DOCUMENT v2.4.0.6
Earnings (Loss) Per Share Attributable to Comverse Technology, Inc.'s Shareholders
 3 Months Ended
Apr. 30, 2012
Earnings Per Share [Abstract]  
Earnings (Loss) Per Share Attributable to Comverse Technology, Inc.'s Shareholders
LOSS PER SHARE ATTRIBUTABLE TO COMVERSE TECHNOLOGY, INC.’S SHAREHOLDERS
Basic loss per share attributable to Comverse Technology, Inc.’s shareholders is computed using the weighted average number of shares of common stock outstanding. For purposes of computing diluted loss per share attributable to Comverse Technology, Inc.’s shareholders, shares issuable upon exercise of stock options and deliverable in settlement of unvested DSU and RSU awards are included in the weighted average number of shares of common stock outstanding, except when the effect would be antidilutive. The dilutive impact of subsidiary stock-based awards on Comverse Technology, Inc.’s reported net loss is recorded as an adjustment to net loss for the three months ended April 30, 2012 and 2011, for the purposes of calculating loss per share.

The calculation of loss per share attributable to Comverse Technology Inc.’s shareholders for the three months ended April 30, 2012 and 2011, was as follows:
 
 
Three Months Ended April 30,
 
2012
 
2011
 
(In thousands, except per share data)
Numerator:
 
 
 
Net loss attributable to Comverse Technology, Inc. - basic
$
(53,210
)
 
$
(59,195
)
Adjustment for subsidiary stock options
(74
)
 
(2
)
Net loss attributable to Comverse Technology, Inc. - diluted
$
(53,284
)
 
$
(59,197
)
Denominator:
 
 
 
Basic and diluted weighted average common shares outstanding
218,855

 
205,700

Loss per share attributable to Comverse Technology, Inc.'s shareholders
 
 
 
Basic and Diluted
$
(0.24
)
 
$
(0.29
)

As a result of the Company’s net loss attributable to Comverse Technology, Inc. during the three months ended April 30, 2012 and 2011, the diluted loss per share attributable to Comverse Technology, Inc.’s shareholders computation excludes 0.5 million and 0.8 million of contingently issuable shares, respectively, because the effect would be antidilutive.
The FASB’s guidance requires contingently convertible instruments be included in diluted earnings per share, if dilutive, regardless of whether a market price trigger has been met. The Convertible Debt Obligations meet the definition of a contingently convertible instrument. The Convertible Debt Obligations were excluded from the computation of diluted earnings per share attributable to Comverse Technology, Inc.’s shareholders because the effect would be antidilutive for the three months ended April 30, 2012 and 2011, respectively.