Vectren 2010 Annual Report Download - page 96

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94
The following table illustrates the basic and dilutive EPS calculations for the three years ended December 31, 2010:
(In millions, except per share data) 2010 2009 2008
Numerator:
Numerator for basic EPS
$
133.6
$
132.9
$
128.8
A
dd back earnings attributable to participating securities
0.1
0.2 0.2
Reported net income (Numerator for Diluted EPS) 133.7$
133.1$ 129.0$
Denominator:
Weighted average common shares outstanding (Basic EPS)
81
.
2
80
.
7
78
.
3
Equity forward contract
-
-
0
.
1
Conversion of share based compensation arrangements
0
.
1
0
.
3
0
.
3
A
djusted weighted average shares outstanding and
assume
d
convers
i
ons
ou
t
s
t
an
di
ng
(Dil
u
t
e
d EPS)
81
.
3
81
.
0
78
.
7
Basic earnings per share 1.65$
1.65$ 1.65$
Dil
u
t
e
d
earn
i
ngs
per
s
h
are
1
.
64
$
1
.
64
$
1
.
63
$
Y
ear
E
n
d
e
d D
ecem
b
er
31
,
For the year ended December 31, 2010 and 2009, options to purchase 308,800 and 837,100, respectively, of additional shares
of the Company’s common stock were outstanding, but were not included in the computation of diluted EPS because their effect
would be antidilutive. The exercise prices for these options ranged from $24.90 to $27.15 and $23.19 to $27.15 for the years
ended December 31, 2010 and 2009, respectively. For the year ended December 31, 2008, all options were dilutive.
13. Accumulated Other Comprehensive Income
A summary of the components of and changes in Accumulated other comprehensive income for the past three years follows:
Beginning Changes End Changes End Changes End
of Year During of Year During of Year During of Year
(In millions) Balance Year Balance Year Balance Year Balance
Unconsolidated affiliates $ 21.2
$ (50.2)
$ (29.0)
$ 21.9
$ (7.1) $ 0.5
$ (6.6)
Pension & other benefit costs (1.3)
(4.0)
(5.3)
0.9
(4.4) (0.5)
(4.9)
Cash flow hedges 0.6
(0.5)
0.1
-
0.1 3.9
4.0
Deferred income taxes (8.0)
21.9
13.9
(9.3)
4.6 (1.5)
3.1
Accumulated other comprehensive
income (loss) $ 12.5 $ (32.8) $ (20.3) $ 13.5 $ (6.8) $ 2.4 $ (4.4)
2008 20102009
Accumulated other comprehensive income arising from unconsolidated affiliates is primarily the Company’s portion of ProLiance
Holdings, LLC’s accumulated comprehensive income related to use of cash flow hedges. (See Note 5 for more information on
ProLiance.)
14. Share-Based Compensation & Deferred Compensation Arrangements
The Company has various share-based compensation programs to encourage executives, key non-officer employees, and non-
employee directors to remain with the Company and to more closely align their interests with those of the Company’s
shareholders. Under these programs, the Company issues stock options, non-vested shares (herein referred to as restricted
stock), and restricted stock units. All share-based compensation programs are shareholder approved. In addition, the
Company maintains a deferred compensation plan for executives and non-employee directors where participants have the
option to invest earned compensation and vested restricted stock and restricted units in phantom Company stock units. Certain
option and share awards provide for accelerated vesting if there is a change in control or upon the participant’s retirement.