Earnings per share. Basic earnings per share (EPS) attributable to Stewart is calculated by dividing net income attributable to Stewart by the weighted-average number of shares of Common Stock outstanding during the reporting periods. Outstanding shares of Common Stock granted to employees that are not yet vested (restricted shares) are excluded from the calculation of the weighted-average number of shares outstanding for calculating basic EPS. To calculate diluted EPS, the number of shares is adjusted to include the number of additional shares that would have been outstanding if the restricted shares and restricted units were vested. In periods of loss, dilutive shares are excluded from the calculation of the diluted EPS and diluted EPS is computed in the same manner as basic EPS.

The calculation of the basic and diluted EPS is as follows:



	Three Months Ended June 30,		Six Months Ended June 30,
	2018	2017	2018	2017
	($000 omitted, except per share)
Numerator:
Net income attributable to Stewart	22,377	18,568	18,598	22,657

Denominator (000):
Basic average shares outstanding	23,546	23,444	23,527	23,438
Average number of dilutive shares relating to grants of restricted shares and units	79	176	80	175
Diluted average shares outstanding	23,625	23,620	23,607	23,613

Basic earnings per share attributable to Stewart	0.95	0.79	0.79	0.97

Diluted earnings per share attributable to Stewart	0.95	0.79	0.79	0.96