8.	Earnings Per Share

Basic earnings per share is calculated by dividing our net income by the weighted average number of common shares outstanding during the period, excluding nonvested restricted stock which is considered to be contingently issuable. To calculate diluted earnings per share, common share equivalents are added to the weighted average number of common shares outstanding. Common share equivalents are calculated using the treasury stock method and are computed based on outstanding stock-based awards. Stock-based awards of 71,000 shares and 53,000 shares were excluded from the calculation of diluted earnings per share as of June 30, 2018 and July 1, 2017, respectively, as their effect would have been anti-dilutive.

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

	Thirteen Weeks Ended				Twenty-Six Weeks Ended
(in thousands, except per share data)	June 30, 2018		July 1, 2017		June 30, 2018		July 1, 2017
Numerator
Net income	$	34,339	$	28,437	$	64,985	$	57,624
Denominator:
Weighted average basic shares outstanding		33,146		34,128		33,273		34,256
Effect of stock-based compensation awards		80		97		82		94
Weighted average diluted shares outstanding		33,226		34,225		33,355		34,350
Earnings Per Share:
Basic	$	1.04	$	0.83	$	1.95	$	1.68
Diluted	$	1.03	$	0.83	$	1.95	$	1.68