Earnings Per Share Reconciliation

3 Months Ended

Mar. 31, 2014

Earnings Per Share Reconciliation

Earnings Per Share Reconciliation

Note 7.  Earnings Per Share Reconciliation

The Company computes earnings per share in accordance with ASC No. 260, (“ASC 260”), “Earnings per Share,” which requires earnings per share for each class of stock to be calculated using the two-class method. The two-class method is the method by which a company allocates earnings or loss between holders of its common stock and its participating security holders. Under the two-class method, the allocation of earnings or loss between common shareholders and other security holders is based on their respective participation rights in dividends and undistributed earnings for the reporting period. 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 shares of restricted stock are considered participating securities in accordance with ASC 260.

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

	THREE MONTHS ENDED
	MARCH 31,
(in thousands, except share data)	2014			2013
NUMERATOR
Net income from continuing operations	$	23,527		$	22,004
Net income from discontinued operations	-			113
Less: distributed earnings allocated to nonvested restricted stock	-			(3		)
Less: undistributed earnings allocated to nonvested restricted stock	(30		)	(111		)
Numerator for basic income per share	23,497			22,003
Plus: interest on 1.6 percent convertible senior notes due 2018	729			729
Plus: interest on 0.25 percent convertible senior notes due 2019	299			-
Plus: undistributed earnings allocated to nonvested restricted stock	30			111
Less: undistributed earnings reallocated to nonvested restricted stock	(24		)	(95		)
Numerator for diluted income per share	$	24,531		$	22,748
DENOMINATOR
Basic earnings per share–weighted-average shares	46,579,280			45,434,996
Effect of dilutive securities:
Share-based payments	957,906			903,321
1.6 percent convertible senior notes due 2018	7,023,780			7,023,780
0.25 percent convertible senior notes due 2019	3,565,962			-
Diluted earnings per share-adjusted weighted-average
shares and assumed conversions	58,126,928			53,362,097
NET INCOME PER COMMON SHARE
Basic	$	0.50		$	0.48
Diluted	$	0.42		$	0.43