Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Share of the Company (Notes)

v2.4.0.6
Earnings Per Share of the Company (Notes) (Tanger Factory Outlet Centers, Inc)
 6 Months Ended
Jun. 30, 2012
Tanger Factory Outlet Centers, Inc
  
Earnings Per Share [Text Block]
Earnings Per Share of the Company
The following table sets forth a reconciliation of the numerators and denominators in computing the Company's earnings per share (in thousands, except per share data):
 
 
Three Months Ended
June 30,
 
Six Months Ended
June 30,
 
 
2012
 
2011
 
2012
 
2011
Numerator
 
 
 
 
 
 
 
 
Net income attributable to Tanger Factory Outlet Centers, Inc.
 
$
11,717

 
$
9,422

 
$
19,845

 
$
18,820

Less allocation of earnings to participating securities
 
(209
)
 
(165
)
 
(367
)
 
(357
)
Net income available to common shareholders of Tanger Factory Outlet Centers, Inc.
 
$
11,508

 
$
9,257

 
$
19,478

 
$
18,463

Denominator
 
 
 
 
 
 
 
 
Basic weighted average common shares
 
91,717

 
80,483

 
90,694

 
80,418

Effect of notional units
 
1,014

 
416

 
1,007

 
416

Effect of senior exchangeable notes
 
—

 
131

 
—

 
131

Effect of outstanding options
 
85

 
74

 
74

 
74

Diluted weighted average common shares
 
92,816

 
81,104

 
91,775

 
81,039

Basic earnings per common share:
 
 
 
 
 
 
 
 
Net income
 
$
0.13

 
$
0.11

 
$
0.21

 
$
0.23

Diluted earnings per common share:
 
 
 
 
 
 
 
 
Net income
 
$
0.12

 
$
0.11

 
$
0.21

 
$
0.23


The notional units are considered contingently issuable common shares and are included in earnings per share if the effect is dilutive using the treasury stock method.
Outstanding senior, exchangeable notes were included in the diluted earnings per share computation, if the effect was dilutive, using the treasury stock method.  In applying the treasury stock method, the effect was dilutive if the average market price of our common shares for at least 20 trading days in the 30 consecutive trading days at the end of each quarter were higher than the exchange price, which prior to redemption was $17.83 per share. There were no outstanding senior, exchangeable notes as of June 30, 2012.
The computation of diluted earnings per share excludes options to purchase common shares when the exercise price is greater than the average market price of the common shares for the period.  For the three months ended June 30, 2012 and 2011, 172,100 and 185,000 options, respectively, were excluded from the computation. For the six months ended June 30, 2012 and 2011, 172,200 and 185,000 options, respectively, were excluded from the computation. The assumed exchange of the partnership units held by the Family Limited Partners as of the beginning of the year, which would result in the elimination of earnings allocated to the noncontrolling interest in the Operating Partnership, would have no impact on earnings per share since the allocation of earnings to a partnership unit, as if exchanged, is equivalent to earnings allocated to a common share.
Certain of the Company's unvested restricted common share awards contain non-forfeitable rights to dividends or dividend equivalents. The impact of the unvested restricted common share awards on earnings per share has been calculated using the two-class method whereby earnings are allocated to the unvested restricted common share awards based on dividends declared and the unvested restricted common shares' participation rights in undistributed earnings.