Net Income per Share

12 Months Ended

Dec. 28, 2013

Earnings Per Share [Abstract]

NET INCOME PER SHARE

NET INCOME PER SHARE

Basic net income per share is computed by dividing net income during the period by the weighted-average number of shares of common stock outstanding during that period, less unvested restricted stock awards. Diluted net income per share is impacted by equity instruments considered to be potential common shares, if dilutive, computed using the treasury stock method of accounting.

The calculations for basic and diluted net income per share for fiscal 2013, 2012 and 2011 are as follows:

	2013		2012		2011
	(In thousands, except per share amounts)
Net income	$	164,243	$	439,948	$	72,229
Weighted-average common shares used to calculate basic net income per share	277,796		270,479		263,892
2023 Notes	8		11		11
2015 Warrants	10,549		4,237		—
Stock-based awards	6,211		5,940		6,913
Weighted-average common shares used to calculate diluted net income per share	294,564		280,667		270,816
Net income per share - basic	$	0.59	$	1.63	$	0.27
Net income per share - diluted	$	0.56	$	1.57	$	0.27

The following table presents shares of Cadence's common stock outstanding for fiscal 2013, 2012 and 2011 that were excluded from the computation of diluted net income per share because the effect of including these shares in the computation of diluted net income per share would have been anti-dilutive:

	2013	2012	2011
	(In thousands)
2015 Warrants	—	—	46,382
2013 and 2011 Warrants	6,830	6,830	13,922
Options to purchase shares of common stock	5,973	11,501	17,580
Non-vested shares of restricted stock	846	70	800
Total potential common shares excluded	13,649	18,401	78,684