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. 29, 2013
Earnings Per Share [Abstract]  
Earnings (Loss) per Common Share
Note 7 – 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 29, 2013, and for the comparable periods ended June 30, 2012, were calculated as follows:
 
Three Months Ended
 
Six Months Ended
(in millions, except per share data)
June 29,
2013
 
June 30,
2012
 
June 29,
2013
 
June 30,
2012
Net earnings from continuing operations
$
79.3

 
$
94.0

 
$
134.2

 
$
141.0

Net earnings (loss) from discontinued operations, net of tax
1.1

 
(10.4
)
 
(4.0
)
 
(17.7
)
Net earnings
$
80.4

 
$
83.6

 
$
130.2

 
$
123.3

 
 
 
 
 
 
 
 
Weighted average outstanding shares – basic
91.0

 
89.7

 
90.8

 
89.6

Dilutive effect of common stock equivalents
2.6

 
2.7

 
2.8

 
2.7

Weighted average outstanding shares – diluted
93.6

 
92.4

 
93.6

 
92.3

 
 
 
 
 
 
 
 
Basic earnings (loss) per common share:
 
 
 
 
 
 
 
Continuing operations
$
0.87

 
$
1.05

 
$
1.48

 
$
1.57

Discontinued operations
0.01

 
(0.12
)
 
(0.05
)
 
(0.19
)
Net earnings
$
0.88

 
$
0.93

 
$
1.43

 
$
1.38

 
 
 
 
 
 
 
 
Diluted earnings (loss) per common share:
 
 
 
 
 
 
 
Continuing operations
$
0.85

 
$
1.02

 
$
1.43

 
$
1.53

Discontinued operations
0.01

 
(0.12
)
 
(0.04
)
 
(0.19
)
Net earnings
$
0.86

 
$
0.90

 
$
1.39

 
$
1.34



As of June 29, 2013, the Company had 6.8 million options outstanding, of which 5.5 million were exercisable.  This compares with 8.8 million options outstanding, of which 6.0 million were exercisable, as of June 30, 2012.  During the three months and six months ended June 29, 2013, there were 1.4 million and 1.0 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 2.3 million anti-dilutive weighted average shares of options outstanding that were excluded from both the three months and six months ended June 30, 2012. Changes in average outstanding basic shares from June 30, 2012 to June 29, 2013, reflect the impact of options exercised and the vesting of stock and performance awards since the beginning of 2012.