Net Income Attributable to Shareholders of Crawford & Company per Common Share | Net Income Attributable to Shareholders of Crawford & Company per Common Share The Company computes earnings per share of its non-voting Class A Common Stock ("CRDA") and voting Class B Common Stock ("CRDB") using the two-class method, which allocates the undistributed earnings in each period to each class on a proportionate basis. The Company's Board of Directors has the right, but not the obligation, to declare higher dividends on the CRDA shares than on the CRDB shares, subject to certain limitations. In periods when the dividend is the same for CRDA and CRDB or when no dividends are declared or paid to either class, the two-class method generally will yield the same earnings per share for CRDA and CRDB. During the first quarters of 2016 and 2015 the Board of Directors declared a higher dividend on CRDA than on CRDB. The computations of basic net income attributable to shareholders of Crawford & Company per common share were as follows: Three months ended March 31, March 31, (in thousands, except per share amounts) CRDA CRDB CRDA CRDB Earnings per share - basic: Numerator: Allocation of undistributed earnings (loss) $ 2,907 $ 2,350 $ (214 ) $ (173 ) Dividends paid 2,138 1,235 2,138 1,235 Net income attributable to common shareholders, basic $ 5,045 $ 3,585 $ 1,924 $ 1,062 Denominator: Weighted-average common shares outstanding, basic 30,545 24,690 30,521 24,690 Earnings per share - basic $ 0.17 $ 0.15 $ 0.06 $ 0.04 The computations of diluted net income attributable to shareholders of Crawford & Company per common share were as follows: Three months ended March 31, March 31, (in thousands, except per share amounts) CRDA CRDB CRDA CRDB Earnings per share - diluted: Numerator: Allocation of undistributed earnings (loss) $ 2,918 $ 2,339 $ (215 ) $ (172 ) Dividends paid 2,138 1,235 2,138 1,235 Net income attributable to common shareholders, diluted $ 5,056 $ 3,574 $ 1,923 $ 1,063 Denominator: Weighted-average common shares outstanding, basic 30,545 24,690 30,521 24,690 Weighted-average effect of dilutive securities 265 — 491 — Weighted-average common shares outstanding, diluted 30,810 24,690 31,012 24,690 Earnings per share - diluted $ 0.16 $ 0.14 $ 0.06 $ 0.04 Listed below are the shares excluded from the denominator in the above computation of diluted earnings per share for CRDA because their inclusion would have been antidilutive: Three months ended (in thousands) March 31, March 31, Shares underlying stock options excluded due to the options' respective exercise prices being greater than the average stock price during the period 471 15 Performance stock grants excluded because performance conditions have not been met (1) 1,097 1,488 ________________________________________________ (1) Compensation cost is recognized for these performance stock grants based on expected achievement rates; however, no consideration is given to these performance stock grants when calculating earnings per share until the performance measurements have been achieved. The performance measurements for approximately 574,000 shares of the Company's outstanding performance stock grants as of March 31, 2016 are expected to be achieved by December 31, 2016 . The following table details shares issued during the three months ended March 31, 2016 and March 31, 2015 . These shares are included from their dates of issuance in the weighted-average common shares used to compute basic earnings per share for CRDA in the table above. There were no shares of CRDB issued during any of these periods. Three months ended (in thousands) March 31, March 31, CRDA issued under non-employee director stock plan 6 48 CRDA issued under the U.K. ShareSave Scheme 7 — CRDA issued under the Executive Stock Bonus Plan 1 4 The Company's share repurchase authorization, approved in August 2014, provides the Company with the ability to repurchase up to 2,000,000 shares of CRDA or CRDB (or both) through July 2017 (the "2014 Repurchase Authorization"). Under the 2014 Repurchase Authorization, repurchases may be made in open market or privately negotiated transactions at such times and for such prices as management deems appropriate, subject to applicable contractual and regulatory restrictions. During the three months ended March 31, 2016 , the Company did not repurchase any shares. During the three months ended March 31, 2015 , the Company repurchased 17,700 shares of CRDA at an average cost of $7.79 per share. The Company did not repurchase any shares of CRDB during either of these periods. |