Central Garden & Pet Company Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Earnings Per Share

Earnings Per Share

12 Months Ended

Sep. 24, 2011

14. Earnings per Share

The following is a reconciliation of the numerators and denominators of the basic and diluted earnings (loss) per share (EPS) computations:


	Fiscal Year Ended September 24, 2011						Fiscal Year Ended September 25, 2010							Fiscal Year Ended September 26, 2009
	Net Income		Shares		Per Share		Net Income		Shares		Per Share			Net Income		Shares		Per Share
	(in thousands, except per share amounts)
Basic EPS:
Net income available to common shareholders	$	28,323		56,217	$	0.50	$	45,833		64,272	$	0.71		$	65,948		69,499	$	0.95
Effect of dilutive securities:
Options to purchase common stock				274		0				680		(0.01	)				506		(0.01	)
Restricted shares				154		0				139		0					259		0
Diluted EPS:
Net income available to common shareholders	$	28,323		56,645	$	0.50	$	45,833		65,091	$	0.70		$	65,948		70,264	$	0.94

Options to purchase 12.1 million shares of common stock and Class A common stock at prices ranging from $4.60 to $17.99 per share were outstanding at September 24, 2011. Of these shares, 8.4 million were not included in the computation of diluted earnings per share because the option exercise prices were greater than the average market price of the common shares and, therefore, the effect of including these options would be anti-dilutive. Options to purchase 11.1 million shares of common stock and Class A common stock at prices ranging from $4.60 to $17.99 per share were outstanding at September 25, 2010. Of these shares, 5.7 million were not included in the computation of diluted earnings per share because the option exercise prices were greater than the average market price of the common shares and, therefore, the effect of including these options would be anti-dilutive. Options to purchase 10.5 million shares of common stock and Class A common stock at prices ranging from $4.26 to $17.99 per share were outstanding at September 26, 2009. Of these shares, 6.7 million were not included in the computation of diluted earnings per share because the option exercise prices were greater than the average market price of the common shares and, therefore, the effect of including these options would be anti-dilutive.