Annual report pursuant to Section 13 and 15(d)

Earnings Per Common Share

v2.4.0.6
Earnings Per Common Share
12 Months Ended
Dec. 31, 2011
Earnings Per Share [Abstract]  
Earnings per Common Share
EARNINGS PER COMMON SHARE
We determine “Basic earnings per share” using the two-class method as our unvested restricted share awards and units have non-forfeitable rights to dividends, and are therefore considered participating securities. We compute basic earnings per share by dividing net income attributable to the controlling interest less the allocation of undistributed earnings to unvested restricted share awards and units by the weighted-average number of common shares outstanding for the period.
We also determine “Diluted earnings per share” under the two-class method with respect to the unvested restricted share awards. We further evaluate any other potentially dilutive securities at the end of the period and adjust the basic earnings per share calculation for the impact of those securities that are dilutive. Our dilutive earnings per share calculation includes the dilutive impact of employee stock options based on the treasury stock method and our performance share units under the contingently issuable method. The dilutive earnings per share calculation also considers our operating partnership units and 3.875% convertible notes under the if-converted method. The operating partnership units were anti-dilutive for the three years ended December 31, 2011. The 3.875% convertible notes were repaid in full as of December 31, 2011, and were anti-dilutive for the years ended December 31, 2010 and 2009.

The following table sets forth the computation of basic and diluted earnings per share (amounts in thousands; except per share data):
 
 
2011
 
2010
 
2009
Numerator:
 
 
 
 
 
 
Income from continuing operations
 
$
(1,128
)
 
$
992

 
$
9,723

Allocation of undistributed earnings to unvested restricted share awards and units to continuing operations
 

 
(4
)
 
(26
)
Adjusted income from continuing operations attributable to the controlling interests
 
(1,128
)
 
988

 
9,697

Income from discontinued operations, including gain on sale of real estate, net of taxes
 
106,506

 
36,567

 
31,225

Net income attributable to noncontrolling interests
 
(494
)
 
(133
)
 
(203
)
Allocation of undistributed earnings to unvested restricted share awards and units to discontinued operations
 
(712
)
 
(140
)
 
(85
)
Adjusted income from discontinued operations attributable to the controlling interests
 
105,300

 
36,294

 
30,937

Adjusted net income attributable to the controlling interests
 
$
104,172

 
$
37,282

 
$
40,634

Denominator:
 
 
 
 
 
 
Weighted average shares outstanding – basic
 
65,982

 
62,140

 
56,894

Effect of dilutive securities:
 
 
 
 
 
 
Employee stock options and restricted share awards
 

 
124

 
74

Weighted average shares outstanding – diluted
 
65,982

 
62,264

 
56,968

 
 
 
 
 
 
 
Earnings per common share, basic:
 
 
 
 
 
 
Continuing operations
 
$
(0.02
)
 
$
0.02

 
$
0.17

Discontinued operations
 
$
1.60

 
$
0.58

 
$
0.54

 
 
$
1.58

 
$
0.60

 
$
0.71

Earnings per common share, diluted:
 
 
 
 
 
 
Continuing operations
 
$
(0.02
)
 
$
0.02

 
$
0.17

Discontinued operations
 
$
1.60

 
$
0.58

 
$
0.54

 
 
$
1.58

 
$
0.60

 
$
0.71