(4) (Loss) Earnings Per Share

Basic (loss) earnings per share (“EPS”) is calculated by dividing net (loss) income by the weighted average number of common shares outstanding during the period. Diluted EPS is calculated under the treasury stock method. Potential common shares included nonvested share-awards, which is subject to risk of forfeiture, and incremental shares of common stock issuable upon the exercise of stock options.

The following table is a reconciliation of net (loss) income and weighted-average shares of common stock outstanding for purposes of calculating basic and diluted EPS for the three months ended March 31:

 

		Three Months Ended March 31,
		2015				2014
		(In thousands, except per share data)
Numerator:
Net (loss) income		$	(27,326	)		$	7,440
Basic EPS Denominator:
Common shares outstanding beginning of year			45,814				46,084
Weighted shares issued (repurchased) during the period			(330	)			64
Total weighted average shares outstanding			45,484				46,148
Diluted EPS Denominator:
Common shares outstanding beginning of year			45,814				46,084
Net weighted shares issued (repurchased) during the period			(330	)			64
Dilutive effect of stock options and nonvested share awards during the period (1)			—				689
Total weighted average shares outstanding			45,484				46,837
(Loss) earnings per share:
Basic		$	(0.60	)		$	0.16
Diluted			(0.60	)			0.16

 

(1)	Common stock equivalents of approximately 570,000 were excluded from the calculation of diluted earnings per share for the quarter ending March 31, 2015 because their inclusion would reduce the net loss per share.

Basic weighted average number of common shares outstanding does not include nonvested share-awards of 0.4 million and 0.5 million shares as of March 31, 2015 and 2014, respectively.

The following table represents the number of stock options and nonvested share-awards that were issued or outstanding but excluded in calculating diluted EPS because their effect would have been anti-dilutive for the quarters ended March 31:

 

		Three Months Ended March 31,
		2015				2014
		(In thousands)
Stock options			1,108				641
Nonvested share-awards			—				—
Total			1,108				641