Earnings Per Common Share
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May 31, 2011
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Earnings (Loss) Per Common Share [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
EARNINGS PER COMMON SHARE |
The Company has two classes of outstanding common stock: Class A Common Stock and Class B
Convertible Common Stock. Earnings per common share – basic excludes the effect of common stock
equivalents and is computed using the two-class computation method. Earnings per common share –
diluted for Class A Common Stock reflects the potential dilution that could result if securities or
other contracts to issue common stock were exercised or converted into common stock. Earnings per
common share – diluted for Class A Common Stock has been computed using the more dilutive of the
if-converted or two-class computation method. Using the if-converted method, earnings per common
share – diluted for Class A Common Stock assumes the exercise of stock options using the treasury
stock method and the conversion of Class B Convertible Common Stock. Using the two-class
computation method, earnings per common share – diluted for Class A Common Stock assumes the
exercise of stock options using the treasury stock method and no conversion of Class B Convertible
Common Stock. For the three months ended May 31, 2011, and May 31, 2010, earnings per common share
– diluted for Class A Common Stock has been calculated using the if-converted method. For the
three months ended May 31, 2011, and May 31, 2010, earnings per common share – diluted for Class B
Convertible Common Stock is presented without assuming conversion into Class A Common Stock and is
computed using the two-class computation method.
The computation of basic and diluted earnings per common share is as follows:
For the three months ended May 31, 2011, and May 31, 2010, stock-based awards, primarily
stock options, which could result in the issuance of 8.7 million and 23.7 million shares,
respectively, of Class A Common Stock were outstanding, but were not included in the computation of
earnings per common share – diluted for Class A Common Stock because the effect of including such
awards would have been antidilutive.
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