Earnings Per Share

12 Months Ended

Dec. 31, 2013

Earnings Per Share [Abstract]

Earnings Per Share Disclosure

23.Earnings per share

The following table reconciles net income and the weighted average ordinary shares outstanding for basic and diluted earnings per share for the periods presented:

	2013	2012	2011
	$’M	$’M	$’M
	_________________	_________________	_________________
Income from continuing operations, net of taxes	1,419.6	805.7	882.7
Loss from discontinued operations1	(754.5)	(60.3)	(17.7)
	_________________	_________________	_________________
Numerator for basic earnings per share	665.1	745.4	865.0
Interest on convertible bonds, net of tax	28.3	31.3	33.6
	_________________	_________________	_________________
Numerator for diluted earnings per share	693.4	776.7	898.6
	_________________	_________________	_________________
Weighted average number of shares:
	Millions	Millions	Millions
	_________________	_________________	_________________
Basic 1	552.0	555.4	551.1
Effect of dilutive shares:
Share based awards to employees 2	4.8	4.6	10.9
Convertible bonds 2.75% due 2014 3	33.5	33.5	33.4
	_________________	_________________	_________________
Diluted	590.3	593.5	595.4
	_________________	_________________	_________________

1. Excludes shares purchased by the EBT and under the share buy-back program and presented by Shire as treasury stock.

2. Calculated using the treasury stock method.

3. At December 31, 2013,Bondholders had voluntarily converted $1,099,050,000 aggregate principal amount of the Bonds into 33,806,464 fully paid Ordinary Shares. The remaining outstanding Bonds in an aggregate principle amount of $950,000 were redeemed pursuant to the option redemption noticeissued on November 26, 2013. The Company has calculated the impact of the Bonds on diluted EPS from the beginning of the period to the actual date of Bonds conversion using the 'if-converted' method.

Year to December 31,	2013	2012	2011
	_______________	_______________	_______________
Earnings per ordinary share - basic
Earnings from continuing operations	257.2c	145.1c	160.1c
Loss from discontinued operations	(136.7c)	(10.9c)	(3.2c)
	_______________	_______________	_______________
Earnings per ordinary share - basic	120.5c	134.2c	156.9c
	_______________	_______________	_______________
Earnings per ordinary share - diluted
Earnings from continuing operations	245.3c	141.0c	153.9c
Loss from discontinued operations	(127.8c)	(10.1c)	(3.0c)
	_______________	_______________	_______________
Earnings per ordinary share – diluted	117.5c	130.9c	150.9c
	_______________	_______________	_______________

The share equivalents not included in the calculation of the diluted weighted average number of shares are shown below:

	2013	2012	2011
	No. of shares	No. of shares	No. of shares
	Millions	Millions	Millions
	_________________	_________________	_________________
Share based awards to employees1	0.5	6.7	2.9
	_________________	_________________	_________________

• Certain stock options have been excluded from the calculation of diluted EPS because (a) their exercise prices exceeded Shire plc's average share price during the calculation period or (b) the required performance conditions were not satisfied as at the balance sheet date.