Quarterly report pursuant to Section 13 or 15(d)

Earnings (Loss) per Common Share

v2.4.0.8
Earnings (Loss) per Common Share
 6 Months Ended
Jun. 28, 2014
Earnings Per Share [Abstract]  
Earnings (Loss) per Common Share
Note 8 – Earnings (Loss) per Common Share

Basic earnings (loss) per common share is calculated by dividing Net earnings (loss) by the weighted average number of common shares outstanding during the period.  Diluted earnings per common share is calculated similarly, except that the calculation includes the dilutive effect of stock-settled SARs and stock options (collectively “options”), non-vested stock awards and performance awards.

Basic and diluted earnings (loss) per common share for the three months and six months ended June 28, 2014 and June 29, 2013, were calculated as follows:
 
Three Months Ended
 
Six Months Ended
(in millions, except per share data)
June 28,
2014
 
June 29,
2013
 
June 28,
2014
 
June 29,
2013
Net earnings from continuing operations
$
88.6

 
$
79.3

 
$
145.6

 
$
134.2

Net earnings (loss) from discontinued operations, net of tax
—

 
1.1

 
—

 
(4.0
)
Net earnings
$
88.6

 
$
80.4

 
$
145.6

 
$
130.2

 
 
 
 
 
 
 
 
Weighted average outstanding shares – basic
93.5

 
91.0

 
93.4

 
90.8

Dilutive effect of common stock equivalents
1.6

 
2.6

 
1.6

 
2.8

Weighted average outstanding shares – diluted
95.1

 
93.6

 
95.0

 
93.6

 
 
 
 
 
 
 
 
Basic earnings (loss) per common share:
 
 
 
 
 
 
 
Continuing operations
$
0.95

 
$
0.87

 
$
1.56

 
$
1.48

Discontinued operations
—

 
0.01

 
—

 
(0.05
)
Net earnings
$
0.95

 
$
0.88

 
$
1.56

 
$
1.43

 
 
 
 
 
 
 
 
Diluted earnings (loss) per common share:
 
 
 
 
 
 
 
Continuing operations
$
0.93

 
$
0.85

 
$
1.53

 
$
1.43

Discontinued operations
—

 
0.01

 
—

 
(0.04
)
Net earnings
$
0.93

 
$
0.86

 
$
1.53

 
$
1.39



As of June 28, 2014, the Company had 3.4 million options outstanding, of which 2.9 million were exercisable.  This compares with 6.8 million options outstanding, of which 5.5 million were exercisable, as of June 29, 2013.  During the three months and six months ended June 28, 2014, there were 0.3 million and 0.3 million average shares of options outstanding, respectively, for which the exercise price was greater than the average market price of the Company’s shares for the period then ended.  These options were not included in the computation of diluted earnings per common share because the effect would have been anti-dilutive. This compares to 1.4 million and 1.0 million anti-dilutive shares of options outstanding that were excluded from the three months and six months ended June 29, 2013, respectively. Changes in average outstanding basic shares from June 29, 2013 to June 28, 2014, reflect the impact of options exercised and the vesting of stock and performance awards since the beginning of 2013.