Visa 2014 Annual Report Download - page 125

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VISA INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
September 30, 2014
The following table presents earnings per share for fiscal 2012.(1)
Basic Earnings Per Share Diluted Earnings Per Share
(in millions, except per share data)
Income
Allocation
(A) (2)
Weighted-
Average
Shares
Outstanding(B)
Earnings per
Share =
(A)/(B)
Income
Allocation
(A)(2)
Weighted-
Average Shares
Outstanding (B)
Earnings per
Share =
(A)/(B)
Class A common
stock ................ $ 1,664 524 $ 3.17 $ 2,144 678(3) $ 3.16
Class B common
stock ................ 343 245 $ 1.40 $ 341 245 $ 1.39
Class C common
stock ................ 130 41 $ 3.17 $ 129 41 $ 3.16
Participating
securities(4) ........... 7Notpresented Not presented $ 7 Not presented Not presented
Net income attributable
to Visa Inc. ........... $ 2,144
(1) Figures in the table may not recalculate exactly due to rounding. Earnings per share is calculated
based on unrounded numbers.
(2) Net income attributable to Visa Inc. is allocated based on proportional ownership on an as-converted
basis. The weighted-average numbers of shares of as-converted class B common stock used in the
income allocation were 103 million for fiscal 2014 and 2013, and 108 million for fiscal 2012.
(3) Weighted-average diluted shares outstanding are calculated on an as-converted basis, and include
incremental common stock equivalents, as calculated under the treasury stock method. The
computation includes 2 million common stock equivalents for fiscal 2014 and 2013, and 3 million for
fiscal 2012, because their effect would have been dilutive. The computation excludes less than
1 million of common stock equivalents for fiscal 2014, 2013 and 2012 because their effect would
have been anti-dilutive.
(4) Participating securities are unvested share-based payment awards that contain non-forfeitable rights
to dividends or dividend equivalents, such as the Company’s restricted stock awards, restricted stock
units and earned performance-based shares.
Note 16—Share-based Compensation
The Company’s 2007 Equity Incentive Compensation Plan, or the EIP, authorizes the
compensation committee of the board of directors to grant non-qualified stock options (“options”),
restricted stock awards (“RSAs”), restricted stock units (“RSUs”) and performance-based shares to its
employees and non-employee directors, for up to 59 million shares of class A common stock. Shares
available for award may be either authorized and unissued or previously issued shares subsequently
acquired by the Company. The EIP will continue to be in effect until all of the common stock available
under the EIP is delivered and all restrictions on those shares have lapsed, unless the EIP is
terminated earlier by the Company’s board of directors. No awards may be granted under the plan on
or after 10 years from its effective date.
111