Earnings Per Share (EPS)

6 Months Ended

Jun. 30, 2012

Earnings (Loss) per Share (EPS) [Abstract]

EARNINGS PER SHARE (EPS)

The following table sets forth the computation of our basic and diluted EPS:



	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2012		2011		2012		2011
	(in millions, except per share data)
Numerator
Net income attributable to AAM	$	4.7	$	49.2	$	55.9	$	86.9

Denominator
Basic shares outstanding -
Weighted-average shares outstanding	75.1		75.4		75.1		74.5

Effect of dilutive securities
Dilutive stock-based compensation	—		—		—		0.2
Dilutive GM warrants	—		—		—		0.7

Diluted shares outstanding -
Adjusted weighted-average shares after assumed conversions	75.1		75.4		75.1		75.4

Basic EPS	$	0.06	$	0.65	$	0.74	$	1.17

Diluted EPS	$	0.06	$	0.65	$	0.74	$	1.15

Certain exercisable stock options were excluded from the computations of diluted EPS because the exercise price of these options was greater than the average period market prices. The number of stock options outstanding, which were not included in the calculation of diluted EPS, was 3.3 million at June 30, 2012 and 4.1 million at June 30, 2011. The ranges of exercise prices related to the excluded exercisable stock options were $15.58 - $40.83 at June 30, 2012 and $15.56 - $40.83 at June 30, 2011.

As part of the 2009 Settlement and Commercial Agreement, we issued to GM five year warrants, which entitled GM to purchase 4.1 million shares of AAM's common stock at an exercise price of $2.76 per share. In the first quarter of 2011, GM exercised these warrants. In accordance with the cashless exercise option available in the agreement, we issued 3.3 million net shares of common stock to GM.

- Definition

The entire disclosure for earnings per share.

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