WeightWatchers 2011 Annual Report Download - page 100

WEIGHT WATCHERS INTERNATIONAL, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
The following table sets forth the computation of basic and diluted EPS for the fiscal years ended:
December 31, January 1, January 2,
2011 2011 2010
Numerator:
Net income attributable to Weight Watchers International, Inc. ..... $304,867 $194,235 $177,344
Denominator:
Weighted average shares of common stock outstanding ............ 73,344 75,661 77,004
Effect of dilutive common stock equivalents ..................... 787 219 113
Weighted average diluted common shares outstanding ............. 74,131 75,880 77,117
EPS attributable to Weight Watchers International, Inc.
Basic .................................................... $ 4.16 $ 2.57 $ 2.30
Diluted .................................................. $ 4.11 $ 2.56 $ 2.30
The number of anti-dilutive common stock equivalents excluded from the calculation of weighted average
shares for diluted EPS was 188, 2,223 and 2,045 for the years ended December 31, 2011, January 1, 2011 and
January 2, 2010, respectively.
9. Stock Plans
Incentive Compensation Plans:
On May 6, 2008, May 12, 2004 and December 16, 1999, respectively, the Company’s shareholders
approved the 2008 Stock Incentive Plan (the “2008 Plan”), the 2004 Stock Incentive Plan (the “2004 Plan”) and
the 1999 Stock Purchase and Option Plan (the “1999 Plan” and together with the 2008 Plan and the 2004 Plan,
the “Stock Plans”). These plans are designed to promote the long-term financial interests and growth of the
Company by attracting, motivating and retaining employees with the ability to contribute to the success of the
business and to align compensation for the Company’s employees over a multi-year period directly with the
interests of the shareholders of the Company. The Company’s Board of Directors or a committee thereof
administers the Stock Plans.
Under the 2008 Plan, grants may take the following forms at the Compensation and Benefit Committee’s
discretion: non-qualified stock options, incentive stock options, stock appreciation rights, restricted stock units
(“RSUs”), restricted stock and other share-based awards. As of its effective date, the maximum number of shares
of common stock available for grant under the 2008 Plan was 3,000, subject to increase and adjustment as set
forth in the 2008 Plan. Pursuant to the terms of the 2008 Plan, the number of shares of our common stock
available for issuance under the 2008 Plan was increased by 550, the remaining number of shares of our common
stock with respect to which awards could be granted under the 1999 Plan upon its termination.
Under the 2004 Plan, grants may take the following forms at the Company’s Board of Directors or its
committee’s sole discretion: non-qualified stock options, incentive stock options, stock appreciation rights,
RSUs, restricted stock and other share-based awards. As of its effective date, the maximum number of shares of
common stock available for grant under the 2004 Plan was 2,500.
Under the 1999 Plan, grants could take the following forms at the Company’s Board of Directors or its
committee’s sole discretion: non-qualified stock options, incentive stock options, stock appreciation rights,
restricted stock, RSUs, purchase stock, dividend equivalent rights, performance units, performance shares and
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