Earnings Per Share Reconciliation

12 Months Ended

Dec. 31, 2012

Earnings Per Share Reconciliation

Earnings Per Share Reconciliation

Note C: Earnings Per Share Reconciliation

The Company computes earnings per share in accordance with ASC 260, which requires earnings per share for each class of stock to be calculated using the two-class method. The two-class method is an allocation of earnings or loss between a company's holders of common stock and its participating security holders. Under the two-class method, earnings or loss for the reporting period are allocated between common shareholders and other security holders, based on their respective participation rights in dividends and undistributed earnings. All outstanding nonvested shares of restricted stock that contain non-forfeitable rights to dividends are considered participating securities and are included in the computation of earnings per share pursuant to the two-class method. The Company's nonvested restricted stock are considered participating securities in accordance with ASC 260.

The following table displays the computation of basic and diluted earnings per share:

	YEAR ENDED DECEMBER 31,
(in thousands, except share data)		2012			2011			2010
NUMERATOR
Net income (loss) from continuing operations	$	42,382		$	(29,867	)	$	(80,692	)
Net loss from discontinued operations		(2,000	)		(20,883	)		(4,447	)
Less: distributed earnings allocated to nonvested restricted stock		(42	)		–			–
Less: undistributed earnings allocated to nonvested restricted stock		(313	)		–			–
Numerator for basic income (loss) per share		40,027			(50,750	)		(85,139	)
Plus: interest on 1.6 percent convertible senior notes due 2018		1,829			–			–
Plus: undistributed earnings allocated to nonvested restricted stock		313			–			–
Less: undistributed earnings reallocated to nonvested restricted stock		(284	)		–			–
Numerator for diluted income (loss) per share	$	41,885		$	(50,750	)	$	(85,139	)
DENOMINATOR
Basic earnings per share—weighted-average shares		44,761,178			44,357,470			44,050,013
Effect of dilutive securities:
Share-based payments		487,443			–			–
1.6 percent convertible senior notes due 2018		4,406,700			–			–
Diluted earnings per share—adjusted weighted-average shares and assumed conversions		49,655,321			44,357,470			44,050,013
NET INCOME (LOSS) PER COMMON SHARE
Basic
Continuing operations	$	0.93		$	(0.67	)	$	(1.83	)
Discontinued operations		(0.04	)		(0.47	)		(0.10	)
Total		0.89			(1.14	)		(1.93	)
Diluted
Continuing operations		0.88			(0.67	)		(1.83	)
Discontinued operations		(0.04	)		(0.47	)		(0.10	)
Total	$	0.84		$	(1.14	)	$	(1.93	)

For the years ended December 31, 2011 and 2010, the effects of outstanding restricted stock units and stock options, as well as nonvested restricted stock, were not included in the diluted earnings per share calculation, as they would have been antidilutive due to the Company's net loss in each of those years.