Earnings Per Share

3 Months Ended

Mar. 31, 2013

Earnings Per Share

11. Earnings Per Share

The computations of the weighted average shares outstanding for the three months ended March 31, 2013 and 2012 are as follows:

	Three months ended March  31,
(in millions)	2013		2012
Weighted average shares outstanding:
Basic		111.1		127.3
Dilutive share-based awards (1)		—		0.9
Diluted		111.1		128.2

(1) The three months ended March 31, 2013 excludes 0.8 million potentially dilutive share-based awards as their effect would be antidilutive.

Because it is the Company’s intention to redeem the principal amount of the 1⁷/₈% senior subordinated convertible notes due 2018 (the “Convertible Notes”) in cash, the treasury stock method is used for determining potential dilution in the diluted earnings per share computation. For the three months ended March 31, 2013, the Convertible Notes have been excluded from the computation of diluted earnings per share as the effect would be antidilutive as the conversion price of the Convertible Notes exceeded the average market price of the Company’s common stock for the three months ended March 31, 2013. As of March 31, 2013, there were 4.2 million restricted share awards with performance-based vesting targets that were not met and as such, have been excluded from the computation of diluted earnings per share.