Earnings (Loss) Per Share

Basic net earnings per share is calculated by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per share is computed by dividing net income by the weighted average number of shares assuming dilution. Dilutive common shares outstanding is computed using the Treasury Stock method and in periods of income, reflects the additional shares that would be outstanding if dilutive stock options were exercised for common shares during the period.

Earnings (loss) per share (in millions, except share data):



	Year Ended December 31,
	2018		2017		2016
Basic:
Net income (loss)	$	421	$	17	$	(137	)
Weighted-average shares outstanding⁽¹⁾	53,591,655		53,021,761		51,579,112
Basic earnings (loss) per share	$	7.86	$	0.33	$	(2.65	)

Diluted:
Net income (loss)	$	421	$	17	$	(137	)
Weighted-average shares outstanding⁽¹⁾	53,591,655		53,021,761		51,579,112
Dilutive shares⁽²⁾	708,157		667,071		—
Diluted weighted-average shares outstanding	54,299,812		53,688,832		51,579,112
Diluted earnings (loss) per share	$	7.76	$	0.32	$	(2.65	)


(1)	In periods of net loss, restricted stock awards that are classified as participating securities are excluded from the weighted-average shares outstanding computation.


(2)	In periods of net loss, options are anti-dilutive and therefore excluded from the earnings (loss) per share calculation.

Anti-dilutive options to purchase common shares are excluded from diluted earnings per share calculations. Anti-dilutive options consist primarily of stock appreciation rights (“SARs”) with an exercise price greater than the average market closing price of the Class A common stock. There were 72,856, 259,142, and 1,391,567 anti-dilutive shares for the years ended December 31, 2018, 2017, and 2016, respectively.