Earnings (Loss) Per Share Calculation

12 Months Ended

Oct. 31, 2014

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,
	2012			2013			2014
Net loss	$	(144,021	)	$	(85,431	)	$	(40,637	)

Denominator

	Year Ended October 31,
	2012	2013	2014
Basic weighted average shares outstanding	99,341	102,350	105,783
Dilutive weighted average shares outstanding	99,341	102,350	105,783

EPS

	Year Ended October 31,
	2012			2013			2014
Basic EPS	$	(1.45	)	$	(0.83	)	$	(0.38	)
Diluted EPS	$	(1.45	)	$	(0.83	)	$	(0.38	)

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,
	2012	2013	2014
Shares underlying stock options and restricted stock units	5,726	3,890	3,176
0.25% Convertible Senior Notes due May 1, 2013	5,470	2,682	—
4.0% Convertible Senior Notes due March 15, 2015	18,395	10,541	9,198
0.875% Convertible Senior Notes due June 15, 2017	13,108	13,108	13,108
3.75% Convertible Senior Notes due October 15, 2018	17,355	17,355	17,355
4.0% Convertible Senior Notes due December 15, 2020	—	7,855	9,198
Total excluded due to anti-dilutive effect	60,054	55,431	52,035