Net Income per Share

6 Months Ended

Jun. 30, 2012

Net Income per Share [Abstract]

Net Income per Share

(4) Net Income per Share

Basic net income per common share is computed by dividing net income applicable to common shares by the weighted average number of common shares outstanding during the period. Diluted net income per common share is determined based on the assumption that dilutive restricted stock and restricted stock unit awards have vested and outstanding dilutive stock options have been exercised and the aggregate proceeds were used to reacquire common stock using the average price of such common stock for the period. The total number of shares issued or reserved for future issuance under outstanding stock options at June 30, 2012 and 2011 was 6,745,354 and 5,396,075, respectively, and the total number of shares of restricted stock and shares reserved for restricted stock units outstanding at June 30, 2012 and 2011 was 837,104 and 964,882, respectively.

There are 27,000 outstanding shares of the Company’s Series D Cumulative Convertible Preferred Stock (“Series D Preferred Stock”), which may currently be converted, at the holder’s election, into up to 6,065,075 shares of the Company’s common stock. The outstanding shares of all Series D Preferred Stock were dilutive for the three and six months ended June 30, 2012 and anti-dilutive for the three and six months ended June 30, 2011.

The following table summarizes the computation of basic and diluted net income per common share (in thousands, except per share amounts):

	Three Months Ended June 30,				Six Months Ended June 30,
	2012		2011		2012		2011
Net income applicable to common shares	$	12,039	$	2,558	$	20,276	$	2,695
Income impact of assumed Series D Preferred Stock conversion		338		—		676		—
Net income after assumed Series D Preferred Stock conversion	$	12,377	$	2,558	$	20,952	$	2,695
Weighted average number of common shares outstanding		155,631		155,096		155,587		154,385
Effect of dilutive stock awards		879		1,457		942		1,673
Effect of convertible preferred stock		6,065		—		6,065		—
Weighted average number of diluted common shares outstanding		162,575		156,553		162,594		156,058
Basic net income per share	$	0.08	$	0.02	$	0.13	$	0.02
Diluted net income per share	$	0.08	$	0.02	$	0.13	$	0.02