Earnings Per Share ("EPS")

3 Months Ended

Dec. 30, 2012

Earnings Per Share ("EPS")

Earnings Per Share ("EPS")

7. Earnings Per Share (“EPS”)

Basic EPS is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding, less unvested restricted stock for the period.  Diluted EPS is computed by dividing net income by the weighted-average number of common shares outstanding and dilutive potential common shares for the period.  Potential common shares include the weighted-average dilutive effects of outstanding stock options and unvested restricted stock using the treasury stock method.

The following table sets forth the number of weighted-average shares used to compute basic and diluted EPS:

	Three Months Ended
	December 30,2012		January 1,2012
	(in thousands, except per share data)
Net income attributable to Tetra Tech	$	26,224	$	22,610
Weighted-average common shares outstanding - basic	63,864		62,433
Effect of dilutive stock options and unvested restricted stock	744		635
Weighted-average common stock outstanding - diluted	64,608		63,068
Earnings per share attributable to Tetra Tech:
Basic	$	0.41	$	0.36
Diluted	$	0.41	$	0.36

For the first quarters of fiscal 2013 and 2012, 1.4 million and 3.4 million options were excluded from the calculation of dilutive potential common shares, respectively.  These options were not included in the computation of dilutive potential common shares because the assumed proceeds per share exceeded the average market price per share for that period.  Therefore, their inclusion would have been anti-dilutive.