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Earnings Per Share
9 Months Ended
Sep. 28, 2020
Earnings Per Share [Abstract]  
Earnings Per Share

(15) Earnings Per Share

The following is a reconciliation of the numerator and denominator used to calculate basic earnings per share and diluted earnings per share from continuing operations for the quarter and three quarters ended September 28, 2020 and September 30, 2019:

 

 

 

Quarter Ended

 

 

Three Quarters Ended

 

 

 

September 28, 2020

 

 

September 30, 2019

 

 

September 28, 2020

 

 

September 30, 2019

 

 

 

(In thousands, except per share amounts)

 

Net (loss) income from continuing operations

 

$

(61,472

)

 

$

2,393

 

 

$

(55,346

)

 

$

21,124

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic weighted average shares

 

 

106,729

 

 

 

105,492

 

 

 

106,130

 

 

 

105,092

 

Dilutive effect of performance-based restricted stock units,

   restricted stock units and stock options

 

 

 

 

 

982

 

 

 

 

 

 

973

 

Diluted shares

 

 

106,729

 

 

 

106,474

 

 

 

106,130

 

 

 

106,065

 

(Loss) earnings per share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

(0.58

)

 

$

0.02

 

 

$

(0.52

)

 

$

0.20

 

Diluted

 

$

(0.58

)

 

$

0.02

 

 

$

(0.52

)

 

$

0.20

 

 

For the quarter and three quarters ended September 28, 2020, potential shares of common stock, consisting of stock options to purchase approximately 80 shares of common stock at exercise prices ranging from $11.83 to $16.60 per share, 3,187 restricted stock units (RSUs), and 216 performance-based restricted stock units (PRUs) were not included in the computation of diluted earnings per share because the Company incurred a net loss and as a result, the impact would be anti-dilutive.

PRUs, RSUs and stock options to purchase 407 and 862 shares of common stock for the quarter and three quarters ended September 30, 2019, respectively, were not included in the computation of diluted earnings per share. The PRUs were not included in the computation of diluted earnings per share because the performance conditions had not been met at September 30, 2019, and for RSUs and stock options, the options’ exercise prices or the total expected proceeds under the treasury stock method was greater than the average market price of common shares during the applicable quarter and three quarters and, as a result, the impact would be anti-dilutive.

Outstanding warrants for the quarter and three quarters ended September 28, 2020 and September 30, 2019, to purchase common stock were not included in the computation of dilutive earnings per share because the strike price of the warrants to purchase the Company’s common stock were greater than the average market price of common shares during the applicable quarter, and therefore, the effect would be anti-dilutive or because the Company incurred a net loss.

During the quarter ended September 28, 2020, the Company calculated the dilutive effect of Convertible Senior Notes using the treasury stock method because the Company now has the intent and ability to settle the Convertible Senior Notes in cash. This change in policy from the if-converted method to treasury stock method is applied on a prospective basis. For the quarter and three quarters ended September 28, 2020, the effect of shares of common stock related to the Company’s Convertible Senior Notes, based on the treasury stock method, were not included in the computation of dilutive earnings per share as the impact would be anti-dilutive.

For the quarter and three quarters ended September 30, 2019, the effect of shares of common stock related to the Company’s Convertible Senior Notes, based on the if-converted method, were not included in the computation of dilutive earnings per share as the impact would be anti-dilutive.