PBG » Topics » Note 3 - Earnings per Share

This excerpt taken from the PBG 8-K filed Sep 16, 2009.
Earnings Per Share – We compute basic earnings per share by dividing net income attributable to PBG by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if stock options or other equity awards from stock compensation plans were exercised and converted into common stock that would then participate in net income.
 
These excerpts taken from the PBG 10-K filed Feb 20, 2009.
Earnings Per Share – We compute basic earnings per share by dividing net income by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflect the potential dilution that could occur if stock options or other equity awards from stock compensation plans were exercised and converted into common stock that would then participate in net income.
 
Earnings Per
Share
 – We compute basic earnings per share
by dividing net income by the weighted-average number of common
shares outstanding for the period. Diluted earnings per share
reflect the potential dilution that could occur if stock options
or other equity awards from stock compensation plans were
exercised and converted into common stock that would then
participate in net income.


 



These excerpts taken from the PBG 10-K filed Feb 27, 2008.
Note 3 – Earnings per Share
 
The following table reconciles the shares outstanding and net earnings used in the computations of both basic and diluted earnings per share:
 
                   
    Fiscal Year Ended
Shares in millions   2007   2006   2005
Net Income
  $ 532   $ 522   $ 466
Weighted average shares outstanding during period on which basic earnings per share is calculated
    226     236     243
Effect of dilutive shares:
                 
Incremental shares under stock compensation plans
    7     6     7
                   
Weighted average shares outstanding during period on which diluted earnings per share is calculated
    233     242     250
Basic earnings per share
  $ 2.35   $ 2.22   $ 1.91
Diluted earnings per share
  $ 2.29   $ 2.16   $ 1.86
                   
 
Diluted earnings per share reflects the potential dilution that could occur if stock options or other equity awards from our stock compensation plans were exercised and converted into common stock that would then participate in net income. For the year ended December 29, 2007, there were no shares excluded from the diluted earnings per share calculation. For the years ended December 30, 2006 and December 31, 2005, options to purchase 1.7 million shares and 9.9 million shares, respectively, were excluded from the diluted earnings per share computation because the exercise price of the options was greater than the average market price of the Company’s common shares during the related periods and the effect of including the options in the computation would be antidilutive.
 
Note 3 –
Earnings per Share



 



The following table reconciles the shares outstanding and net
earnings used in the computations of both basic and diluted
earnings per share:


 











































































































































                   

 

 

Fiscal Year Ended

Shares in millions

 

2007

 

2006


 

2005



Net Income


 

$

532

 

$

522

 

$

466


Weighted average shares outstanding during period on which basic
earnings per share is calculated


 

 

226

 

 

236

 

 

243


Effect of dilutive shares:


 

 

 

 

 

 

 

 

 


Incremental shares under stock compensation plans


 

 

7

 

 

6

 

 

7

 

 

 

 

 

 

 

 

 

 


Weighted average shares outstanding during period on which
diluted earnings per share is calculated


 

 

233

 

 

242

 

 

250


Basic earnings per share


 

$

2.35

 

$

2.22

 

$

1.91


Diluted earnings per share


 

$

2.29

 

$

2.16

 

$

1.86

 

 

 

 

 

 

 

 

 

 






 



Diluted earnings per share reflects the potential dilution that
could occur if stock options or other equity awards from our
stock compensation plans were exercised and converted into
common stock that would then participate in net income. For the
year ended December 29, 2007, there were no shares excluded
from the diluted earnings per share calculation. For the years
ended December 30, 2006 and December 31, 2005, options
to purchase 1.7 million shares and 9.9 million shares,
respectively, were excluded from the diluted earnings per share
computation because the exercise price of the options was
greater than the average market price of the Company’s
common shares during the related periods and the effect of
including the options in the computation would be antidilutive.


 




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