Shareholders' Equity

12 Months Ended

Jul. 02, 2011

13. SHAREHOLDERS' EQUITY

Basic earnings per share has been computed by dividing net earnings by the weighted average number of shares of common stock outstanding for each respective year. Diluted earnings per share has been computed by dividing net earnings by the weighted average number of shares of common stock outstanding during those respective years adjusted for the dilutive effect of stock options outstanding using the treasury stock method.

A reconciliation of the numerators and the denominators of the basic and diluted earnings per share computations for the periods presented follows:


			2010
	2011		(53 Weeks)		2009
	(In thousands, except for share and per share data)
Numerator:
Net earnings	$	1,152,030	$	1,179,983	$	1,055,948


Denominator:
Weighted-average basic shares outstanding		586,526,142		592,157,221		595,127,577
Dilutive effect of share-based awards		2,165,404		1,432,821		941,627

Weighted-average diluted shares outstanding		588,691,546		593,590,042		596,069,204


Basic earnings per share:	$	1.96	$	1.99	$	1.77


Diluted earnings per share:	$	1.96	$	1.99	$	1.77

The number of options that were not included in the diluted earnings per share calculation because the effect would have been anti-dilutive was approximately 50,700,000, 58,200,000 and 63,000,000 for fiscal 2011, 2010 and 2009, respectively.

Dividends declared were $604.5 million, $585.7 million and $557.5 million in fiscal 2011, 2010 and 2009, respectively. Included in dividends declared for each year were dividends declared but not yet paid at year-end of approximately $155.0 million, $148.0 million and $142.0 million in fiscal 2011, 2010 and 2009, respectively.