Earnings Per Share

3 Months Ended

Mar. 31, 2017

The following table sets forth the computation of basic and diluted earnings per share:



	Three Months Ended March 31,
	2017		2016
	(in millions, except share and per share amounts)
Numerator:
Net income attributable to common shareholders	$	169	$	132
Denominator:
Weighted-average common shares outstanding for basic earnings per share	166,473,073		164,281,692
Weighted-average effect of dilutive securities:
Employee equity awards	3,773,874		4,086,752
Weighted-average common shares outstanding for diluted earnings per share	170,246,947		168,368,444
Basic and diluted earnings per share:
Basic earnings per share	$	1.02	$	0.80
Diluted earnings per share	$	0.99	$	0.78

Stock options to purchase 1,634,772 shares of common stock and 4,245,457 shares of restricted stock and PSUs were outstanding at March 31, 2017. For the three months ended March 31, 2017, we included 1,365,955 of the outstanding stock options and 3,293,769 shares of restricted stock and PSUs in the computation of diluted earnings per share, on a weighted-average basis, as their inclusion was dilutive. The remaining stock options, shares of restricted stock and PSUs are antidilutive, and as such, they were properly excluded.

Stock options to purchase 2,539,676 shares of common stock and 5,594,549 shares of restricted stock and PSUs were outstanding at March 31, 2016. For the three months ended March 31, 2016, we included all of the outstanding stock options and 4,533,893 shares of restricted stock and PSUs in the computation of diluted earnings per share, on a weighted-average basis, as their inclusion was dilutive. The remaining shares of restricted stock and PSUs are antidilutive, and as such, they were properly excluded.

See “Recently Adopted Accounting Pronouncements,” of Note 2, “Basis of Presentation and Principles of Consolidation,” for the impact of the adoption of ASU 2016-09, "Improvements to Employee Share-Based Payment Accounting" on diluted earnings per share.