Shareholders’ equity

Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed in the same manner except that the weighted average number of shares is increased to include dilutive securities. The following table provides a reconciliation of basic to diluted weighted average number of common shares outstanding:



	Three Months Ended		Nine Months Ended
	September 30, 2018	October 1, 2017	September 30, 2018	October 1, 2017
	(Shares in thousands)
Basic	45,851	45,035	45,587	44,975
Dilutive effect of share-based awards	919	934	1,007	873
Dilutive effect of convertible notes and warrants	45	618	191	825
Diluted	46,815	46,587	46,785	46,673

The weighted average number of shares that were antidilutive and therefore excluded from the calculation of earnings per share were 0.7 million for the three and nine months ended September 30, 2018 and 0.6 million for the three and nine months ended October 1, 2017.

In connection with the issuance by the Company in 2010 of $400 million principal amount of convertible notes that matured in August 2017, and as part of hedging arrangements between the Company and two institutional counterparties, the Company issued warrants to the counterparties, entitling them to purchase Company common stock. These transactions are described in greater detail in Note 11 to the consolidated financial statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2017. At September 30, 2018, all of the warrants either (a) were canceled as a result of warrant unwind agreements between the Company and the counterparties or (b) were exercised by the counterparties.

The following tables provide information relating to the changes in accumulated other comprehensive loss, net of tax, for the nine months ended September 30, 2018 and October 1, 2017:



	Cash Flow Hedges			Pension and Other Postretirement Benefit Plans			Foreign Currency Translation Adjustment			Accumulated Other Comprehensive (Loss) Income
	(Dollars in thousands)
Balance as of December 31, 2017	$	340		$	(138,808	)	$	(126,623	)	$	(265,091	)
Other comprehensive income (loss) before reclassifications	2,816			127			(30,130		)	(27,187		)
Amounts reclassified from accumulated other comprehensive income	(873		)	3,984			—			3,111
Net current-period other comprehensive income (loss)	1,943			4,111			(30,130		)	(24,076		)
Balance as of September 30, 2018	$	2,283		$	(134,697	)	$	(156,753	)	$	(289,167	)



	Cash Flow Hedges			Pension and Other Postretirement Benefit Plans			Foreign Currency Translation Adjustment			Accumulated Other Comprehensive (Loss) Income
	(Dollars in thousands)
Balance as of December 31, 2016	$	(2,424	)	$	(136,596	)	$	(299,697	)	$	(438,717	)
Other comprehensive (loss) before reclassifications	3,383			(1,050		)	156,012			158,345
Amounts reclassified from accumulated other comprehensive loss	1,535			3,387			—			4,922
Net current-period other comprehensive income	4,918			2,337			156,012			163,267
Balance as of October 1, 2017	$	2,494		$	(134,259	)	$	(143,685	)	$	(275,450	)

The following table provides information relating to the location in the statements of operations and amount of reclassifications of losses/(gains) in accumulated other comprehensive (loss) income into expense/(income), net of tax, for the three and nine months ended September 30, 2018 and October 1, 2017:



	Three Months Ended						Nine Months Ended
	September 30, 2018			October 1, 2017			September 30, 2018			October 1, 2017
	(Dollars in thousands)
(Gains) losses on foreign exchange contracts:
Cost of goods sold	$	(87	)	$	(1,179	)	$	(1,038	)	$	1,769
Total before tax	(87		)	(1,179		)	(1,038		)	1,769
Taxes (benefit)	25			237			165			(234		)
Net of tax	$	(62	)	$	(942	)	$	(873	)	$	1,535

Amortization of pension and other postretirement benefit items _(1):
Actuarial losses	$	1,640		$	1,723		$	5,120		$	5,176
Prior-service costs	24			20			71			79
Total before tax	1,664			1,743			5,191			5,255
Tax benefit	(388		)	(619		)	(1,207		)	(1,868		)
Net of tax	$	1,276		$	1,124		$	3,984		$	3,387

Total reclassifications, net of tax	$	1,214		$	182		$	3,111		$	4,922

(1) These accumulated other comprehensive (loss) income components are included in the computation of net benefit expense for pension and other postretirement benefit plans (see Note 12 for additional information).