Weighted Average Common Shares

6 Months Ended

Jun. 30, 2018

11. WEIGHTED AVERAGE COMMON SHARES

Basic net income per share is calculated by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per share is computed by dividing net income by the weighted average number of shares assuming dilution. Dilutive common shares outstanding is computed using the Treasury Stock Method and reflects the additional shares that would be outstanding if dilutive stock options were exercised and restricted stock units were settled for common shares during the period.

The weighted average number of common shares used to compute basic and diluted net income per share for the quarters and years to date ended June 30, 2018 and 2017 were as follows:

	For the Quarter Ended June 30,				For the Year to Date Ended June 30,
	2018		2017		2018		2017
Basic common shares outstanding		69,668		69,025		69,443		68,803
Common stock equivalents		1,894		1,859		1,796		1,787
Diluted common shares outstanding		71,562		70,884		71,239		70,590

For the quarters and years to date ended June 30, 2018 and 2017, certain unexercised stock option awards are excluded from our computations of diluted earnings per share, as these shares were out-of-the-money and their effect would have been anti-dilutive. The anti-dilutive options that were excluded from our computations of diluted earnings per share were 0.9 million and 1.1 million shares for the quarters ended June 30, 2018 and 2017, respectively, and 0.8 million and 1.1 million shares for the years to date ended June 30, 2018 and 2017, respectively.