Bausch & Lomb 1999 Annual Report

4. Earnings Per Share
Basic earnings per share is computed based on the weighted average
number of Common and Class B shares outstanding during a
period. Diluted earnings per share reflect the assumed conversion
of dilutive stock options. In computing the per share effect of
assumed conversion, funds which would have been received from
See the future 28 Bausch & Lomb
the exercise of options were considered to have been used to
repurchase common shares at average market prices for the period,
and the resulting net additional common shares are included in
the calculation of average common shares outstanding.
The table below summarizes the amounts used to calculate
basic and diluted earnings per share:
1999 1998 1997
Income from continuing operations $102.7 $ 55.6 $ 62.0
Income (loss) from discontinued operations, net 34.0 (63.4) (12.6)
Gain on disposals of discontinued operations, net 308.1 33.0 .–
Net Income $444.8 $ 25.2 $ 49.4
Basic Net Income Per Common Share:
Continuing operations $ 1.79 $ 1.00 $ 1.12
Discontinued operations 0.59 (1.14) (0.23)
Gain on disposal of discontinued operations 5.38 0.59 .–
Net income per common share $ 7.76 $ 0.45 $ 0.89
Diluted Net Income Per Common Share:
Continuing operations $ 1.75 $ 0.99 $ 1.12
Discontinued operations 0.58 (1.13) (0.23)
Gain on disposal of discontinued operations 5.26 0.59 .–
Net income per common share $ 7.59 $ 0.45 $ 0.89
Basic average common shares outstanding (000s) 57,287 55,824 55,383
Dilutive effect of stock options (000s) 1,352 543 271
Diluted average common shares outstanding (000s) 58,639 56,367 55,654
Antidilutive outstanding stock options were excluded from the calculation of average shares outstanding. Options excluded, in thousands,
totaled 1,149 in 1999, 1,709 in 1998 and 3,431 in 1997. Actual outstanding Common and Class B shares at the beginning of the period
were 56,529 in 1999, 55,209 in 1998 and 55,404 in 1997.