Net (Loss) Income Per Common Share Attributable to Microchip Technology Stockholders

The following table sets forth the computation of basic and diluted net (loss) income per common share from continuing operations attributable to Microchip Technology stockholders (in thousands, except per share amounts):



	Three Months Ended
	June 30,
	2016			2015
Net (loss) income from continuing operations attributable to Microchip Technology	$	(109,225	)	$	130,667
Weighted average common shares outstanding	214,345			202,232
Dilutive effect of stock options and RSUs	—			3,392
Dilutive effect of 2037 junior subordinated convertible debentures	—			11,143
Weighted average common and potential common shares outstanding	214,345			216,767
Basic net (loss) income per common share from continuing operations attributable to Microchip Technology stockholders	$	(0.51	)	$	0.65
Diluted net (loss) income per common share from continuing operations attributable to Microchip Technology stockholders	$	(0.51	)	$	0.60

The Company computed basic net (loss) income per common share from continuing operations attributable to its stockholders using net (loss) income from continuing operations available to common stockholders and the weighted average number of common shares outstanding during the period. The Company computed diluted net (loss) income per common share from continuing operations attributable to its stockholders using net (loss) income from continuing operations available to common stockholders and the weighted average number of common shares outstanding plus potentially dilutive common shares outstanding during the period.

Potentially dilutive common shares from employee equity incentive plans are determined by applying the treasury stock method to the assumed exercise of outstanding stock options and the assumed vesting of outstanding RSUs. For the three months ended June 30, 2016, the calculation of diluted net loss per common share excluded 4,159,273 common shares from employee equity incentive plans as the related impact would have been anti-dilutive as the Company generated a net loss.

For the three months ended June 30, 2016, the calculation of diluted net loss per common share excluded 12,165,812 shares issuable upon the exchange of the Company's 2.125% junior subordinated convertible debentures as the related impact would have been anti-dilutive as the Company generated a net loss. Diluted net income per common share from continuing operations attributable to stockholders for the three months ended June 30, 2015 includes 11,142,772 shares issuable upon the exchange of the Company's 2.125% junior subordinated convertible debentures. The debentures have no impact on diluted net income per common share unless the average price of the Company's common stock exceeds the conversion price because the principal amount of the debentures will be settled in cash upon conversion. Prior to conversion, the Company will include, in the diluted net income per common share calculation, the effect of the additional shares that may be issued when the Company's common stock price exceeds the conversion price using the treasury stock method. The weighted average conversion price per share used in calculating the dilutive effect of the convertible debt for the three-month periods ended June 30, 2016 and 2015 was $24.23 and $25.01, respectively.

There were no shares issuable upon the exchange of the Company's 1.625% senior subordinated convertible debentures due February 15, 2025 (see Note 15). The debentures have no impact on diluted net income per common share unless the average price of the Company's common stock exceeds the conversion price because the principal amount of the debentures will be settled in cash upon conversion. Prior to conversion, the Company will include, in the diluted net income per common share calculation, the effect of the additional shares that may be issued when the Company's common stock price exceeds the conversion price using the treasury stock method. The weighted average conversion price per share used in calculating the dilutive effect of the convertible debt for the three-month periods ended June 30, 2016 and 2015 was $65.82 and $67.95, respectively.