Earnings Per Share

12 Months Ended

Dec. 31, 2021

Note 7. Earnings Per Share

Basic earnings per share is computed by dividing net income by the daily weighted average number of shares of our common stock outstanding for the period, excluding unvested restricted stock. Unvested restricted stock is included in common shares outstanding on our Balance Sheets.

Diluted earnings per share is computed using the treasury stock method. The denominator used in calculating diluted earnings per share includes the impact of unvested restricted stock and other dilutive, non-participating securities under our equity award agreements. The denominator excludes contingently-issuable shares under performance-based award agreements when the performance target has not yet been deemed achieved.

The following table provides a reconciliation of the number of shares of common stock used in computing basic and diluted earnings per share:

	Year Ended December 31,
(In thousands)	2021		2020		2019
Weighted average shares outstanding - basic		115,651,411		117,737,180		120,414,218
Dilutive effect of share-based awards		758,578		756,023		195,381
Weighted average shares outstanding - diluted		116,409,989		118,493,203		120,609,599