Net Income Per Share

A reconciliation of basic and diluted share amounts is as follows:



	Three Months Ended
	December 29, 2018	December 30, 2017
Basic weighted average common shares outstanding	270,590	276,856
Weighted average common stock equivalents from assumed exercise of stock options and issuance of stock units	1,782	2,212
Incremental shares from Convertible Notes premium	—	1,734
Diluted weighted average common shares outstanding	272,372	280,802
Weighted-average anti-dilutive shares related to:
Outstanding stock options	3,339	2,272
Stock Units	4	216

The Company had outstanding Convertible Notes in the first quarter of the prior fiscal year. At that time, the principal balance and any conversion premium could be satisfied, at the Company's option, by issuing shares of common stock, cash or a combination of shares and cash. The Company's policy was that it would settle the principal balance of the Convertible Notes in cash. As such, in the first quarter of fiscal 2018, the Company applied the treasury stock method to these securities and the dilution related to the conversion premium of the convertible notes was included in the calculation of diluted weighted-average shares outstanding to the extent each issuance is dilutive based on the average stock price during each reporting period being greater than the conversion price of the respective Notes. In those reporting periods in which the Company has reported net income, anti-dilutive shares include those stock options that either have an exercise price above the average stock price for the period or the stock options’ combined exercise price and average unrecognized stock compensation expense upon exercise is greater than the average stock price.