14. Earnings Per Share

The Company computes earnings per share using the two-class method, which is an earnings allocation formula that determines earnings per share for common stock and any participating securities according to dividends declared (whether paid or unpaid) and participation rights in undistributed earnings. The Series A Preferred Stock is considered participating securities because it has dividend rights determined on an as-converted basis in the event of Company’s declaration of a dividend or distribution for common shares.

The following table sets forth the computation of basic and diluted net (loss) income per common share (amounts in millions, except per share amounts).



	Successor			Predecessor
	Three Months Ended March 31, 2019			Three Months Ended March 31, 2018
Net (loss) income attributable to Successor/Predecessor	$	(186	)	$	160
Less: Undistributed earnings attributable to participating stockholders	—			—
Net (loss) income attributable to common stockholders	$	(186	)	$	160

Net (loss) income per common share attributable to Successor/Predecessor:
Basic	$	(2.05	)	$	1.63
Diluted	$	(2.05	)	$	1.61

Weighted average shares of common stock outstanding (in thousands):
Basic	90,828			97,873
Dilutive effect of stock awards	—			1,238
Dilutive effect of participating securities	—			—
Diluted	90,828			99,111