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, 2012
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 3.875% convertible notes were repaid in full as of December 31, 2011, and were anti-dilutive for the year ended December 31, 2010.

The computation of basic and diluted earnings per share for the three years ended December 31, 2012 was as follows (in thousands; except per share data):
 
Year Ended December 31,
 
2012
 
2011
 
2010
Numerator:
 
 
 
 
 
Income (loss) from continuing operations
$
17,099

 
$
(2,898
)
 
$
(609
)
Allocation of undistributed earnings to unvested restricted share awards and units to continuing operations
(451
)
 

 

Adjusted income (loss) from continuing operations attributable to the controlling interests
16,648

 
(2,898
)
 
(609
)
Income from discontinued operations, including gain on sale of real estate, net of taxes
6,609

 
108,276

 
38,168

Net income attributable to noncontrolling interests

 
(494
)
 
(133
)
Allocation of undistributed earnings to unvested restricted share awards and units to discontinued operations
(131
)
 
(712
)
 
(144
)
Adjusted income from discontinued operations attributable to the controlling interests
6,478

 
107,070

 
37,891

Adjusted net income attributable to the controlling interests
$
23,126

 
$
104,172

 
$
37,282

Denominator:
 
 
 
 
 
Weighted average shares outstanding – basic
66,239

 
65,982

 
62,140

Effect of dilutive securities:
 
 
 
 
 
Employee stock options and restricted share awards
137

 

 

Weighted average shares outstanding – diluted
66,376

 
65,982

 
62,140

 
 
 
 
 
 
Earnings per common share, basic:
 
 
 
 
 
Continuing operations
$
0.25

 
$
(0.04
)
 
$
(0.01
)
Discontinued operations
0.10

 
1.62

 
0.61

 
$
0.35

 
$
1.58

 
$
0.60

Earnings per common share, diluted:
 
 
 
 
 
Continuing operations
$
0.25

 
$
(0.04
)
 
$
(0.01
)
Discontinued operations
0.10

 
1.62

 
0.61

 
$
0.35

 
$
1.58

 
$
0.60