Note 2: Earnings Per Share

We compute basic earnings per share using the weighted average number of common shares outstanding. We compute diluted earnings per share using the weighted average number of common shares outstanding plus the effect of outstanding dilutive stock options and restricted stock units, using the treasury stock method, and outstanding deferred stock units. The following table provides the calculation of basic and diluted earnings per share on an interim basis:


(In thousands, except per share data)
	Three Months Ended May 31,				Six Months Ended May 31,
	2011		2010		2011		2010

Net income	$	17,960	$	19,058	$	38,481	$	18,052

Weighted average shares outstanding		66,897		63,805		66,942		62,712
Dilutive impact from common stock equivalents		2,349		2,550		2,511		2,479

Diluted weighted average shares outstanding		69,246		66,355		69,453		65,191

Earnings per share:
Basic	$	0.27	$	0.30	$	0.57	$	0.29
Diluted	$	0.26	$	0.29	$	0.55	$	0.28

We excluded stock awards representing approximately 768,000 shares and 2,968,000 shares of common stock from the calculation of diluted earnings per share in the second quarter of fiscal years 2011 and 2010, respectively, because these awards were anti-dilutive. We excluded stock awards representing approximately 529,000 shares and 4,123,000 shares of common stock from the calculation of diluted earnings per share in the first six months of fiscal years 2011 and 2010, respectively, because these awards were anti-dilutive.