Net Income Per Common Share From Continuing Operations Attributable to Microchip Technology Stockholders

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



	Year Ended March 31,
	2017		2016		2015
Net income from continuing operations attributable to Microchip	$	170,592	$	324,132	$	369,009
Weighted average common shares outstanding	217,196		203,384		200,937
Dilutive effect of stock options and RSUs	4,357		3,350		3,642
Dilutive effect of 2007 Junior Debt	12,715		10,654		18,982
Dilutive effect of 2015 Senior Debt	538		—		—
Dilutive effect of 2017 Senior Debt	—		—		—
Dilutive effect of 2017 Junior Debt	—		—		—
Weighted average common and potential common shares outstanding	234,806		217,388		223,561
Basic net income per common share from continuing operations attributable to Microchip stockholders	$	0.79	$	1.59	$	1.84
Diluted net income per common share from continuing operations attributable to Microchip stockholders	$	0.73	$	1.49	$	1.65

The Company computed basic net income per common share from continuing operations attributable to its stockholders using net 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 income per common share from continuing operations attributable to its stockholders using net 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. Weighted average common shares exclude the effect of option shares which are not dilutive. There were no anti-dilutive option shares for the year ended March 31, 2017. For the year ended March 31, 2016, the number of option shares that were antidilutive was 298,015.

Diluted net income per common share from continuing operations attributable to stockholders for fiscal 2017, 2016, and 2015 includes 12,714,831, 10,654,070 and 18,982,440 shares, respectively, issuable upon the exchange of the Company's 2007 Junior Debt. In February 2017, the Company issued an aggregate of 11,997,924 shares in the settlement of $431.3 million principal amount of the 2007 Junior Debt. The shares that were issued are included in the weighted average dilutive common shares outstanding through the date of the issuance and were reflected in the weighted average common shares outstanding thereafter. Diluted net income per common share from continuing operations attributable to stockholders for fiscal 2017 includes 538,044 shares issuable upon the exchange of the Company's 2015 Senior Debt. There were no shares issuable upon the exchange of the Company's senior and junior debt issued in fiscal 2017 nor were any shares issuable upon the exchange of the Company's 2015 Senior Debt for fiscal 2016 and fiscal 2015. The convertible debt has 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 following is the weighted average conversion price per share used in calculating the dilutive effect (See Note 11 for details on the convertible debt):



	March 31,
	2017		2016		2015
2007 Junior Debt	$	24.01	$	24.73	$	25.48
2015 Senior Debt	$	65.21	$	67.19	$	68.25
2017 Senior Debt	$	100.58	$	—	$	—
2017 Junior Debt	$	98.81	$	—	$	—