Columbia Sportswear Company Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Share

Earnings Per Share

9 Months Ended

Sep. 30, 2015

EARNINGS PER SHARE

Earnings per share (“EPS”) is presented on both a basic and diluted basis. Basic EPS is based on the weighted average number of common shares outstanding. Diluted EPS reflects the potential dilution that could occur if outstanding securities or other contracts to issue common stock were exercised or converted into common stock. For the calculation of diluted EPS, the basic weighted average number of shares is increased by the dilutive effect of stock options and restricted stock units determined using the treasury stock method.

A reconciliation of common shares used in the denominator for computing basic and diluted EPS is as follows (in thousands, except per share amounts):



	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
Weighted average shares of common stock outstanding, used in computing basic earnings per share	70,338		70,093		70,253		69,811
Effect of dilutive stock options and restricted stock units	901		725		948		882
Weighted average shares of common stock outstanding, used in computing diluted earnings per share	71,239		70,818		71,201		70,693
Earnings per share of common stock attributable to Columbia Sportswear Company:
Basic	$	1.29	$	0.94	$	1.58	$	1.17
Diluted	1.28		0.93		1.56		1.15

Stock options and service-based restricted stock units representing 192,652 and 467,288 shares of common stock for the three months ended September 30, 2015 and 2014, respectively, and 141,844 and 380,716 shares of common stock for the nine months ended September 30, 2015 and 2014, respectively, were outstanding but were excluded from the computation of diluted EPS because their effect would be anti-dilutive as a result of applying the treasury stock method. In addition, performance-based restricted stock units representing 122,857 and 140,596 shares of common stock for the three months ended September 30, 2015 and 2014, respectively, and 123,075 and 107,347 shares of common stock for the nine months ended September 30, 2015 and 2014, respectively, were outstanding but were excluded from the computation of diluted EPS because these shares were subject to performance conditions that had not been met.

Common stock repurchase plan

Since the inception of the Company’s stock repurchase plan in 2004 through September 30, 2015, the Company’s Board of Directors has authorized the repurchase of $700,000,000 of the Company’s common stock. Shares of the Company’s common stock may be purchased in the open market or through privately negotiated transactions, subject to market conditions. The repurchase program does not obligate the Company to acquire any specific number of shares or to acquire shares over any specified period of time. As of September 30, 2015, the Company had repurchased 19,865,932 shares under this program at an aggregate purchase price of approximately $470,968,000. During the nine months ended September 30, 2015, the Company repurchased 258,874 shares of the Company's common stock at an aggregate purchase price of $14,525,000. During the nine months ended September 30, 2014, the Company repurchased 54,600 shares of the Company's common stock at an aggregate purchase price of $1,957,000, including $1,950,000 settled after September 30, 2014.