2. Income (Loss) Per Share
Basic income (loss) per share is computed by dividing income (loss) available to common stockholders by the weighted average number of shares of common stock outstanding for the period. Diluted income (loss) per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the income of the Company subject to anti-dilution limitations.
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Year Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
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March 2, 2013 (52 Weeks) |
March 3, 2012 (53 Weeks) |
February 26, 2011 (52 Weeks) |
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Numerator for income (loss) per share: |
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Net income (loss) |
$ | 118,105 | $ | (368,571 | ) | $ | (555,424 | ) | ||
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Accretion of redeemable preferred stock |
(102 | ) | (102 | ) | (102 | ) | ||||
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Cumulative preferred stock dividends |
(10,528 | ) | (9,919 | ) | (9,346 | ) | ||||
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Income (loss) attributable to common stockholders—basic and diluted |
$ | 107,475 | $ | (378,592 | ) | $ | (564,872 | ) | ||
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Denominator: |
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Basic weighted average shares |
889,562 | 885,819 | 882,947 | |||||||
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Outstanding options and restricted shares, net |
17,697 | — | — | |||||||
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Diluted weighted average shares |
907,259 | 885,819 | 882,947 | |||||||
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Basic and diluted income (loss) per share |
$ | 0.12 | $ | (0.43 | ) | $ | (0.64 | ) | ||
Due to their anti-dilutive effect, the following potential common shares have been excluded from the computation of diluted income (loss) per share as of March 2, 2013, March 3, 2012 and February 26, 2011:
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Year Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
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March 2, 2013 (52 Weeks) |
March 3, 2012 (53 Weeks) |
February 26, 2011 (52 Weeks) |
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Stock options |
10,455 | 73,798 | 74,298 | |||||||
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Convertible preferred stock |
33,109 | 31,195 | 29,391 | |||||||
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Convertible notes |
24,800 | 24,800 | 24,800 | |||||||
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|
68,364 | 129,793 | 128,489 | |||||||
Also excluded from the computation of diluted income (loss) per share as of March 3, 2012 and February 26, 2011 are restricted shares and restricted stock units of 11,506, and 7,078 which are included in shares outstanding.