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Computation of Earnings per Common Share
 6 Months Ended
Jun. 30, 2024
Earnings Per Share [Abstract]  
Computation of Earnings per Common Share Computation of Earnings per Common Share
Earnings per Common Share (Basic and Diluted)

Basic earnings per share is computed by dividing the net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed using the same method as basic earnings per share, however, the computation reflects the potential dilution that would occur if outstanding in-the-money stock options were exercised and converted into common stock. Diluted earnings per share is the amount of earnings available to each common share outstanding during the reporting periods adjusted to include the effects of potentially dilutive common shares. Potentially dilutive common shares include warrants, convertible preferred stock, stock options and other stock-based awards. Potentially dilutive common shares are excluded from the computation of diluted earnings per share in the periods where the effect would be antidilutive. As the average common share price was above the $7.50 per share exercise price (on an as-converted common stock basis) of the warrants, the corresponding 105 million common shares underlying the shares of non-voting, common-equivalent preferred stock of the Company, par value $0.01 per share (the "Series D NVCE Stock"), underlying such warrants would have been included in the dilutive share count if the Company had positive earnings for the period (reflective of the reverse stock split discussed in Note 19 - Subsequent Events).

Unvested stock-based compensation awards containing non-forfeitable rights to dividends paid on the Company’s common stock are considered participating securities, and therefore are included in the two-class method for calculating earnings per share. Under the two-class method, all earnings (distributed and undistributed) are allocated to common stock and participating securities based on their respective rights to receive dividends on the common stock. The Company grants restricted stock to certain employees under its stock-based compensation plan. Recipients receive cash dividends during the vesting periods of these awards, including on the unvested portion of such awards. Since these dividends are non-forfeitable, the unvested awards are considered participating securities and therefore have earnings allocated to them.

The following table reflects basic and diluted weighted average shares and net income (loss) per share giving effect to the reverse stock split as if it had been effective for all periods presented (See Note 19 - Subsequent Events):

Three Months Ended June 30,Six Months Ended June 30,
(in millions, except share and per share amounts)2024202320242023
Net (loss) income available to common stockholders
$(333)$405 $(668)$2,403 
Less: Dividends paid on and earnings allocated to participating securities— (4)— (26)
(Loss) earnings applicable to common stock
$(333)$401 $(668)$2,377 
Weighted average common shares outstanding(1)
293,122,116240,754,856269,902,354234,895,240
Basic (loss) earnings per common share
$(1.14)$1.66 $(2.48)$10.12 
(Loss) earnings applicable to common stock
$(333)$401 $(668)$2,377 
Weighted average common shares outstanding(1)
293,122,116240,754,856269,902,354234,895,240
Potential dilutive common shares—487,475—470,508
Total shares for diluted earnings per common share computation(1)
293,122,116 241,242,331269,902,354 235,365,748
Diluted (loss) earnings per common share and common share equivalents
$(1.14)$1.66 $(2.48)$10.10 
(1)On June 27, 2024, the Company announced a 1 for 3 reverse stock split, which was effected July 11, 2024. This reverse stock split is reflected retroactively in all periods presented. See Note 19 - Subsequent Events.