Earnings Per Share

9 Months Ended

Nov. 01, 2014

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

In accordance with relevant accounting guidance, unvested share-based payment awards that include non-forfeitable rights to dividends, whether paid or unpaid, are considered participating securities. As a result, such awards are required to be included in the calculation of earnings per common share pursuant to the “two-class” method. For us, participating securities are composed entirely of unvested restricted stock awards and PSUs that have met their relevant performance criteria.

Earnings per share (“EPS”) is determined using the two-class method, as it is more dilutive than the treasury stock method. Basic EPS excludes dilution and is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding during the period, including participating securities. Diluted EPS reflects the dilutive effect of potential common shares from non-participating securities such as stock options and PSUs.

The following table sets forth the computation of basic and diluted EPS shown on the face of the accompanying condensed consolidated statements of income (loss) (in thousands, except per share amounts):

	Thirty-Nine Weeks Ended						Thirteen Weeks Ended
	November 1, 2014			November 2, 2013			November 1, 2014			November 2, 2013
Numerator
Net income (loss)	$	96,471		$	66,231		$	26,463		$	(28,479	)
Net income and dividends declared allocated to participating securities	(2,648		)	(1,785		)	(745		)	—
Net income (loss) available to common shareholders	$	93,823		$	64,446		$	25,718		$	(28,479	)
Denominator
Weighted average common shares outstanding – basic	148,577			156,662			148,564			155,228
Dilutive effect of non-participating securities	516			942			473			—
Weighted average common and common equivalent shares outstanding – diluted	149,093			157,604			149,037			155,228
Net income (loss) per common share:
Basic	$	0.63		$	0.41		$	0.17		$	(0.18	)
Diluted	$	0.63		$	0.41		$	0.17		$	(0.18	)

For the thirty-nine weeks ended November 1, 2014 and November 2, 2013, 0.6 million and 1.0 million potential shares of common stock, respectively, were excluded from the diluted per share calculation relating to non-participating securities, because the effect of including these potential shares was antidilutive.

For the thirteen weeks ended November 1, 2014 and November 2, 2013, 0.5 million and 0.8 million potential shares of common stock, respectively, were excluded from the diluted per share calculation relating to non-participating securities, because the effect of including these potential shares was antidilutive.