Earnings Per Share

12 Months Ended

Dec. 31, 2018

16.	Earnings Per Share

The following table provides a reconciliation of net income (loss) and the number of common shares used in the computations of “basic” earnings per share (“EPS”), which utilizes the weighted-average number of common shares outstanding without regard to dilutive potential common shares, and “diluted” EPS, which includes all such shares (in thousands, except per share amounts). Further, all per share amounts and average shares outstanding have been restated to reflect the May 2018 reverse stock split described in Note 1.

	For the Year Ended December 31,
	2018			2017			2016
Numerators – Basic and Diluted
Net income (loss)	$	116,105		$	(243,132	)	$	61,199
Plus: (Income) loss attributable to non-controlling interests		(1,671	)		1,447			(1,187	)
Less: Preferred dividends		(33,531	)		(28,759	)		(22,375	)
Less: Earnings attributable to unvested shares and OP Units		(1,137	)		(989	)		(786	)
Net income (loss) attributable to common shareholders after allocation to participating securities	$	79,766		$	(271,433	)	$	36,851

Denominators – Number of Shares
Basic – Average shares outstanding		184,528			183,681			182,647
Effect of dilutive securities – Stock options		7		—				134
Diluted – Average shares outstanding		184,535			183,681			182,781
Earnings (Loss) Per Share:
Basic	$	0.43		$	(1.48	)	$	0.20
Diluted	$	0.43		$	(1.48	)	$	0.20

Basic average shares outstanding do not include restricted shares totaling 0.7 million, 0.3 million and 0.2 million that were not vested at December 31, 2018, 2017 and 2016, respectively (Note 15).

The following potentially dilutive securities were considered in the calculation of EPS:

•

Options to purchase 0.4 million, 0.6 million and 0.9 million common shares were outstanding at December 31, 2018, 2017 and 2016, respectively (Note 15). These outstanding options were not considered in the computation of diluted EPS for the year ended December 31, 2017, as the options were anti-dilutive due to the Company’s loss from continuing operations.

•

PRSUs were not considered in the computation of diluted EPS for the years ended December 31, 2018 and 2017, as the calculation was anti-dilutive. The PRSUs were not outstanding for the year ended December 31, 2016, and accordingly were not considered in the calculation.

•

Shares subject to issuance under the Company’s 2016 VSEP (Note 15) were not considered in the computation of diluted EPS for the years ended December 31, 2018, 2017, and 2016, as the calculation was anti-dilutive.

•

The exchange into common shares associated with OP Units was not included in the computation of diluted shares outstanding for all periods presented because the effect of assuming conversion was anti-dilutive (Note 12).