Dish Network 1997 Annual Report Download - page 62

ECHOSTAR COMMUNICATIONS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – Continued
2. Summary of Significant Accounting Policies – Continued
F–15
Earnings per share amounts for all periods are presented below in accordance with the requirements of FAS
No. 128.
Years Ended December 31,
1995 1996 1997
(In thousands, except per share data)
Numerator:
Net loss................................ ................................ .................. $(11,486) $(100,986) $(312,825)
8% Series A Cumulative Preferred Stock dividends ................... ( 1,204) ( 1,204) ( 1,204)
12 1/8% Series B Senior Redeemable Exchangeable Preferred
Stock dividends payable in-kind ................................ ........... – – ( 6,164)
Accretion of 6 ¾% Series C Cumulative Convertible Preferred
Stock................................ ................................ .................. – – ( 1,074)
Numerator for basic and diluted loss per share − loss attributable
to common stockholders ................................ ...................... (12,690) (102,190) (321,267)
Denominator:
Denominator for basic and diluted loss per share −
weighted-average shares outstanding ................................ .... 35,562 40,548 41,918
Basic and diluted loss per share ................................ .................... $( 0.36) $( 2.52) $( 7.66)
Shares of Class A Common Stock issuable upon conversion of:
8% Series A Cumulative Preferred Stock ................................ . 1,617 1,617 1,617
6 ¾% Series C Cumulative Convertible Preferred Stock .......... – – 4,715
As of December 31, 1995, 1996 and 1997, options to purchase approximately 1,117,000, 1,025,000 and
1,525,000 shares of Class A Common Stock were outstanding, respectively. Additionally, a total of approximately
102,000, 3,000 and 2,000 Warrants were outstanding as of December 31, 1995, 1996, and 1997, respectively. These
common stock equivalents (employee stock options and warrants) are excluded from the calculation of diluted loss
per share as they are antidilutive. Additionally, securities which are convertible into shares of Class A Common
Stock (8% Series A Cumulative Preferred Stock and 6 ¾% Series C Cumulative Convertible Preferred Stock) also
are excluded from the calculation of diluted loss per share as they are antidilutive.
New Accounting Pronouncements
In June 1997, the FASB issued FAS No. 130, “ Reporting Comprehensive Income” (“ FAS No. 130” ), which
establishes standards for reporting and display of comprehensive income and its components (revenues, expenses, gains
and losses) in a full set of general-purpose financial statements. In June 1997, the FASB issued FAS No. 131,
“ Disclosures About Segments of an Enterprise and Related Information” (“ FAS No. 131” ) which establishes standards
for reporting information about operating segments in annual financial statements of public business enterprises and
requires that those enterprises report selected information about operating segments in interim financial reports issued
to shareholders and for related disclosures about products and services, geographic areas, and major customers. FAS
No. 130 and FAS No. 131 are effective for financial statements for periods beginning after December 15, 1997. The
adoption of FAS No. 130 and FAS No. 131 may require additional disclosure in EchoStar’s financial statements.
Reclassifications
Certain amounts from the prior years consolidated financial statements have been reclassified to conform
with the 1997 presentation.