EARNINGS PER SHARE

On February 28, 2017, upon emergence from Chapter 11 bankruptcy, the Company's Predecessor equity was cancelled and new equity was issued. Additionally, the Predecessor Company's 2017 Convertible Notes were cancelled. See Note 2 – Reorganization and Note 4 – Stockholders' Equity for further details.

The following tables set forth the calculation of basic and diluted weighted average shares outstanding and earnings per share for the indicated periods (in thousands, except per share amounts):



	Successor			Predecessor
	Three Months Ended June 30, 2017			Three Months Ended June 30, 2016
Income (numerator):
Basic:
Net loss	$	(6,461	)	$	(195,761	)
Net income attributable to participating securities	—			—
Net loss attributable to common stock - basic	$	(6,461	)	$	(195,761	)
Diluted:
Net loss	$	(6,461	)	$	(195,761	)
Net income attributable to participating securities	—			—
Net loss attributable to common stock - diluted	$	(6,461	)	$	(195,761	)
Weighted average shares (denominator):
Weighted average shares - basic	19,997			5,585
Dilutive effect of stock options	—			—
Dilutive effect of warrants	—			—
Dilutive effect of restricted stock units	—			—
Dilutive effect of convertible notes	—			—
Weighted average shares - diluted	19,997			5,585
Basic loss per share	$	(0.32	)	$	(35.05	)
Diluted loss per share	$	(0.32	)	$	(35.05	)



	Successor			Predecessor
	Period from March 1, 2017 through June 30, 2017			Period from January 1, 2017 through February 28, 2017			Six Months Ended June 30, 2016
Income (numerator):
Basic:
Net income (loss)	$	(266,074	)	$	630,317		$	(384,545	)
Net income attributable to participating securities	—			(4,995		)	—
Net income (loss) attributable to common stock - basic	$	(266,074	)	$	625,322		$	(384,545	)
Diluted:
Net income (loss)	$	(266,074	)	$	630,317		$	(384,545	)
Net income attributable to participating securities	—			(4,995		)	—
Net income (loss) attributable to common stock - diluted	$	(266,074	)	$	625,322		$	(384,545	)
Weighted average shares (denominator):
Weighted average shares - basic	19,997			5,634			5,578
Dilutive effect of stock options	—			—			—
Dilutive effect of warrants	—			—			—
Dilutive effect of restricted stock units	—			—			—
Dilutive effect of convertible notes	—			—			—
Weighted average shares - diluted	19,997			5,634			5,578
Basic income (loss) per share	$	(13.31	)	$	110.99		$	(68.94	)
Diluted income (loss) per share	$	(13.31	)	$	110.99		$	(68.94	)

All outstanding stock options were considered antidilutive during the period from January 1, 2017 through February 28, 2017 (Predecessor) (approximately 10,400 shares) because the exercise price of the options exceeded the average price of our common stock for the applicable period. During the three and six months ended June 30, 2016 (Predecessor), all outstanding stock options were considered antidilutive (approximately 12,900 shares) because we had net losses for such periods. On February 28, 2017, upon emergence from bankruptcy, all outstanding stock options were cancelled. See Note 5 – Share-Based Compensation and Employee Benefit Plans.

On February 28, 2017, upon emergence from bankruptcy, the Predecessor Company's existing common stockholders received warrants to purchase common stock of the Successor Company. See Note 2 – Reorganization. For the three months ended June 30, 2017 (Successor) and the period of March 1, 2017 through June 30, 2017 (Successor), all outstanding warrants (approximately 3,529,000) were antidilutive because we had net losses for such periods.

The Predecessor Company had no outstanding restricted stock units. The board of directors of the Successor Company received grants of restricted stock units on March 1, 2017. See Note 5 – Share-Based Compensation and Employee Benefit Plans. For the three months ended June 30, 2017 (Successor) and the period from March 1, 2017 through June 30, 2017 (Successor), all outstanding restricted stock units (approximately 62,000) were considered antidilutive because we had net losses for such periods.

For the period from January 1, 2017 through February 28, 2017 (Predecessor), the average price of our common stock was less than the effective conversion price for the 2017 Convertible Notes, resulting in no dilutive effect on the diluted earnings per share computation for such period. For the three and six months ended June 30, 2016 (Predecessor), the 2017 Convertible Notes had no dilutive effect on the diluted earnings per share computation as we had net losses for such periods. On February 28, 2017, upon emergence from bankruptcy, the 2017 Convertible Notes were cancelled. See Note 2 – Reorganization.

During the three months ended June 30, 2017 (Successor) and the period from March 1, 2017 through June 30, 2017 (Successor), approximately 1,195 shares of common stock of the Successor Company were issued from authorized shares upon the lapsing of forfeiture restrictions of restricted stock for employees. During the periods from January 1, 2017 through February 28, 2017 (Predecessor) and the three and six months ended June 30, 2016 (Predecessor), approximately 47,390 shares, 12,100 shares and 62,200 shares of Predecessor Company common stock, respectively, were issued from authorized shares upon the granting of stock awards and the lapsing of forfeiture restrictions of restricted stock for employees and nonemployee directors.