
	For the Three Months Ended
	April 1, 2012		April 3, 2011
	(in thousands, except per share amounts)
Income from continuing operations	$	33,564	$	69,938
Income from discontinued operations		—		1,703
Gain on disposal of discontinued operations		—		25,203

Net income for basic and diluted net income per share	$	33,564	$	96,844

Weighted average common shares-basic		185,838		184,720

Effect of dilutive potential common shares:
Incremental shares from assumed conversion of convertible notes (1)		23,000		23,360
Convertible notes hedge warrant shares (2)		18,319		18,822
Restricted stock units		1,647		3,512
Stock options		2,325		1,605
Employee stock purchase rights		24		61

Dilutive potential common shares		45,315		47,360

Weighted average common shares-diluted		231,153		232,080

Net income per common share-basic:
Continuing operations	$	0.18	$	0.38
Discontinued operations		—		0.14

	$	0.18	$	0.52

Net income per common share-diluted:
Continuing operations	$	0.15	$	0.30
Discontinued operations		—		0.12

	$	0.15	$	0.42

(1)

Incremental shares from assumed conversion of the convertible notes for the three months ended April 1, 2012 and April 3, 2011 are calculated using the difference between the average Teradyne stock price for the period and the conversion price of $5.48, multiplied by the 34.7 million shares that would be issued upon conversion. The result of this calculation, representing total intrinsic value of the convertible debt, is divided by the average Teradyne stock price for the period.

(2)

Convertible notes hedge warrant shares for the three months ended April 1, 2012 and April 3, 2011 are calculated using the difference between the average Teradyne stock price for the period and the warrant price of $7.67, multiplied by the 34.7 million shares that would be issued upon conversion. The result of this calculation, representing total intrinsic value of the warrant, is divided by the average Teradyne stock price for the period.