Earnings (Loss) Per Share Calculation

12 Months Ended

Oct. 31, 2012

Earnings Per Share [Abstract]

EARNINGS (LOSS) PER SHARE CALCULATION

EARNINGS (LOSS) PER SHARE CALCULATION

The following table (in thousands except per share amounts) is a reconciliation of the numerator and denominator of the basic net income (loss) per common share (“Basic EPS”) and the diluted net income (loss) per potential common share (“Diluted EPS”). Since the numerator reflects net losses for the fiscal years indicated, both Basic EPS and Diluted EPS are computed using the weighted average number of common shares outstanding. If the numerator reflected net income, Diluted EPS would also include, to the extent the effect is not anti-dilutive, the following: (i) shares issuable upon vesting of restricted stock units, (ii) shares issuable under Ciena's employee stock purchase plan and upon exercise of outstanding stock options, using the treasury stock method; and (iii) shares underlying Ciena's outstanding convertible notes.

Numerator

	Year Ended October 31,
	2010			2011			2012
Net loss	$	(333,514	)	$	(195,521	)	$	(144,021	)

Denominator

	Year Ended October 31,
	2010	2011	2012
Basic weighted average shares outstanding	93,103	95,854	99,341
Dilutive weighted average shares outstanding	93,103	95,854	99,341

EPS

	Year Ended October 31,
	2010			2011			2012
Basic EPS	$	(3.58	)	$	(2.04	)	$	(1.45	)
Diluted EPS	$	(3.58	)	$	(2.04	)	$	(1.45	)

The following table summarizes the weighted average shares excluded from the calculation of the denominator for Diluted EPS due to their anti-dilutive effect for the fiscal years indicated (in thousands):

	Year Ended October 31,
	2010	2011	2012
Shares underlying stock options and restricted stock units	7,397	6,141	5,726
0.25% Convertible Senior Notes due May 1, 2013	7,454	5,470	5,470
4.00% Convertible Senior Notes due March 15, 2015	11,605	18,395	18,395
0.875% Convertible Senior Notes due June 15, 2017	13,108	13,108	13,108
3.75% Convertible Senior Notes due October 15, 2018	717	17,356	17,355
Total excluded due to anti-dilutive effect	40,281	60,470	60,054