NOTE 3. EARNINGS PER SHARE

Basic earnings per share (“EPS”) is calculated by dividing the Company’s Net earnings by the basic Weighted-average shares outstanding for the periods presented.

Diluted EPS reflects the potential dilution that could occur if outstanding stock options at the presented date are exercisable and shares of restricted stock have vested.

As of June 30, 2012, 2011 and 2010, the computation of diluted EPS did not include 2.6 million, 2.4 million and 4.4 million options to purchase Broadridge common stock, respectively, as the effect of their inclusion would have been anti-dilutive.

The following table sets forth the denominators of the basic and diluted EPS computations:


	Years ended June 30,
	2012		2011		2010
	(in millions)
Weighted-average shares outstanding:
Basic		124.1		124.8		135.9
Common stock equivalents		3.4		3.5		3.2

Diluted		127.5		128.3		139.1

The following table sets forth the computation of basic EPS utilizing Net earnings from continuing operations and Net earnings for the fiscal year and the Company’s basic Weighted-average shares outstanding:


	Years ended June 30,
	2012		2011		2010
	(in millions, except per share amounts)
Net earnings from continuing operations	$	125.0	$	171.8	$	225.1
Net earnings	$	123.6	$	169.6	$	190.0
Basic Weighted-average shares outstanding		124.1		124.8		135.9
Basic EPS from continuing operations	$	1.01	$	1.38	$	1.66
Basic EPS	$	1.00	$	1.36	$	1.40

The following table sets forth the computation of diluted EPS utilizing Net earnings from continuing operations and Net earnings for the fiscal year and the Company’s diluted Weighted-average shares outstanding:


	Years ended June 30,
	2012		2011		2010
	(in millions, except per share amounts)
Net earnings from continuing operations	$	125.0	$	171.8	$	225.1
Net earnings	$	123.6	$	169.6	$	190.0
Diluted Weighted-average shares outstanding		127.5		128.3		139.1
Diluted EPS from continuing operations	$	0.98	$	1.34	$	1.62
Diluted EPS	$	0.97	$	1.32	$	1.37