EARNINGS PER SHARE

The following table sets forth the computation of basic and diluted earnings per share (in millions, except per share data):



	Three Months Ended				Nine Months Ended
	June 30, 2018		July 1, 2017		June 30, 2018		July 1, 2017
Numerator:
Net income	$	542	$	448	$	2,490	$	1,383
Less: Net income attributable to noncontrolling interests	1		1		3		3
Net income attributable to Tyson	541		447		2,487		1,380
Less dividends declared:
Class A	88		66		289		217
Class B	19		14		61		47
Undistributed earnings	$	434	$	367	$	2,137	$	1,116

Class A undistributed earnings	$	358	$	302	$	1,762	$	920
Class B undistributed earnings	76		65		375		196
Total undistributed earnings	$	434	$	367	$	2,137	$	1,116
Denominator:
Denominator for basic earnings per share:
Class A weighted average shares	295		296		296		296
Class B weighted average shares, and shares under the if-converted method for diluted earnings per share	70		70		70		70
Effect of dilutive securities:
Stock options, restricted stock and performance units	4		4		4		5
Denominator for diluted earnings per share – adjusted weighted average shares and assumed conversions	369		370		370		371

Net income per share attributable to Tyson:
Class A basic	$	1.52	$	1.24	$	6.94	$	3.84
Class B basic	$	1.37	$	1.12	$	6.24	$	3.47
Diluted	$	1.47	$	1.21	$	6.72	$	3.72

Approximately 1 million of our stock-based compensation shares were antidilutive for the three and nine months ended June 30, 2018 and approximately 1 million for the three and nine months ended July 1, 2017. These shares were not included in the diluted earnings per share calculation.

We have two classes of capital stock, Class A stock and Class B stock. Cash dividends cannot be paid to holders of Class B stock unless they are simultaneously paid to holders of Class A stock. The per share amount of cash dividends paid to holders of Class B stock cannot exceed 90% of the cash dividends paid to holders of Class A stock.

We allocate undistributed earnings based upon a 1 to 0.9 ratio per share to Class A stock and Class B stock, respectively. We allocate undistributed earnings based on this ratio due to historical dividend patterns, voting control of Class B shareholders and contractual limitations of dividends to Class B stock.