EARNINGS PER SHARE

3 Months Ended

Jun. 30, 2020

EARNINGS (LOSS) PER SHARE

Basic earnings (loss) per share is computed by dividing net earnings attributable to Laboratory Corporation of America Holdings by the weighted average number of common shares outstanding. Diluted earnings (loss) per share is computed by dividing net earnings including the impact of dilutive adjustments by the weighted average number of common shares outstanding plus potentially dilutive shares, as if they had been issued at the earlier of the date of issuance or the beginning of the period presented. Potentially dilutive common shares result primarily from the Company’s outstanding stock options, restricted stock awards, restricted stock units, and performance share awards.

The following represents a reconciliation of basic earnings (loss) per share to diluted earnings (loss) per share:


	Three Months Ended June 30,																		Six Months Ended June 30,
	2020								2019									2020			2019
	Earnings		Shares	Per Share Amount		Earnings		Shares	Per Share Amount		Earnings (Loss)		Shares	Per Share Amount		Earnings		Shares	Per Share Amount
Basic earnings (loss) per share:
Net earnings (loss)	$	231.6	97.3	$	2.38	$	190.4	98.1	$	1.94	$	(85.6)	97.2	$	(0.88)	$	376.0	98.4	$	3.82
Dilutive effect of employee stock options and awards	—		0.4			—		0.7			—		—			—		0.7


Net earnings (loss) including impact of dilutive adjustments ^(a)	$	231.6	97.7	$	2.37	$	190.4	98.8	$	1.93	$	(85.6)	97.2	$	(0.88)	$	376.0	99.1	$	3.79

^(a)Due to the Company's net loss for the six months ended June 30, 2020, diluted earnings (loss) per share is the same as basic earnings (loss) per share.

Diluted earnings per share represent the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. These potential shares include dilutive stock options and unissued restricted stock awards. The following table summarizes the potential common shares not included in the computation of diluted earnings per share because their impact would have been antidilutive:


	Three Months Ended June 30,			Six Months Ended June 30,
	2020	2019	2020	2019
Employee stock options and awards	0.8	0.2	1.3	0.2