Earnings Per Common Share

12 Months Ended

Dec. 31, 2015

EARNINGS PER COMMON SHARE

We determine “Basic earnings per share” using the two-class method as our unvested restricted share awards and units have non-forfeitable rights to dividends, and are therefore considered participating securities. We compute basic earnings per share by dividing net income attributable to the controlling interest less the allocation of undistributed earnings to unvested restricted share awards and units by the weighted-average number of common shares outstanding for the period.

We also determine “Diluted earnings per share” as the more dilutive of the two-class method or the treasury stock method with respect to the unvested restricted share awards. We further evaluate any other potentially dilutive securities at the end of the period and adjust the basic earnings per share calculation for the impact of those securities that are dilutive. Our dilutive earnings per share calculation includes the dilutive impact of employee stock options (prior to their expiration at December 31, 2014) based on the treasury stock method and our share based awards with performance conditions prior to the grant date and all market condition awards under the contingently issuable method. The dilutive earnings per share calculation also considers operating partnership units for the year ended December 31, 2013 under the if-converted method. We had no operating partnership units as of December 31, 2015 and 2014. We had a loss from continuing operations for the year ended December 31, 2013 and therefore diluted earnings per share is calculated in the same manner as basic earnings per share for that year.

The computation of basic and diluted earnings per share for the three years ended December 31, 2015 was as follows (in thousands; except per share data):



	Year Ended December 31,
	2015			2014			2013
Numerator:
Income (loss) from continuing operations	$	89,187		$	5,070		$	(193	)
Net loss attributable to noncontrolling interests	553						—
Allocation of undistributed earnings to unvested restricted share awards and units to continuing operations	(269		)	5			—
Adjusted income (loss) from continuing operations attributable to the controlling interests	89,471			5,075			(193		)
Income from discontinued operations, including gain on sale of real estate, net of taxes	—			106,531			37,539
Net loss attributable to noncontrolling interests				38			—
Allocation of undistributed earnings to unvested restricted share awards and units to discontinued operations	—			(322		)	(415		)
Adjusted income from discontinued operations attributable to the controlling interests	—			106,247			37,124
Adjusted net income attributable to the controlling interests	$	89,471		$	111,322		$	36,931
Denominator:
Weighted average shares outstanding – basic	68,177			66,795			66,580
Effect of dilutive securities:
Employee stock options and restricted share awards	133			42			—
Weighted average shares outstanding – diluted	68,310			66,837			66,580

Earnings per common share, basic:
Continuing operations	$	1.31		$	0.08		$	—
Discontinued operations	—			1.59			0.55
	$	1.31		$	1.67		$	0.55
Earnings per common share, diluted:
Continuing operations	$	1.31		$	0.08		$	—
Discontinued operations	—			1.59			0.55
	$	1.31		$	1.67		$	0.55

Dividends declared per common share	$	1.20		$	1.20		$	1.20