Annual Report 2011

Adecco Group –
Notes to consolidated financial statements
in millions, except share and per share information

Note 15 – Earnings per share

The following table sets forth the computation of basic and diluted earnings per share:

 

2011

2010

2009

in EUR (except number of shares)

Basic

Diluted

Basic

Diluted

Basic

Diluted

 

 

 

 

 

 

 

Numerator

 

 

 

 

 

 

Net income attributable to Adecco shareholders

519

519

423

423

8

8

Interest on convertible bond, net of tax

 

 

 

2

 

 

Net income available for earnings per share calculation

519

519

423

425

8

8

 

 

 

 

 

 

 

Denominator

 

 

 

 

 

 

Weighted-average outstanding shares

172,394,340

172,394,340

174,151,587

174,151,587

174,091,286

174,091,286

Weighted-average shares deliverable under prepaid forward

18,277,383

18,277,383

17,961,492

17,961,492

3,515,530

3,515,530

Weighted-average shares

 190,671,723

  190,671,723

  192,113,079

  192,113,079

  177,606,816

  177,606,816

Incremental shares for assumed conversions:

 

 

 

 

 

 

• Convertible bond

 

 

 

3,417,413

 

 

• Employee stock-based compensation

 

133,357

 

65,833

 

7,175

Total average equivalent shares

190,671,723

190,805,080

192,113,079

195,596,325

177,606,816

177,613,991

 

 

 

 

 

 

 

Per share amounts

 

 

 

 

 

 

Net earnings per share

2.72

2.72

2.20

2.17

0.04

0.04

The weighted-average shares include 18,277,383, 17,961,492, and 3,515,530 shares for 2011, 2010, and 2009, respectively deliverable under the prepaid forward with Adecco Investment. The exercise price of the prepaid forward is reduced proportionally for each dividend distribution to common shareholders, as described in Note 1, which represents participation rights of the prepaid forward.

Stock options of 392,108 in 2011, 1,583,834 in 2010, and 4,027,697 in 2009 were excluded from the computation of diluted net income per share as the effect would have been anti-dilutive. The effect of the convertible bond, comprising EUR 6 of interest expense add-back and 7,569,582 additional incremental shares, was excluded from the computation in 2009 as the effect would have been anti-dilutive.