Earnings Per Share
|9 Months Ended
Sep. 29, 2013
|Earnings Per Share [Abstract]
|Earnings Per Share
EARNINGS PER SHARE
The number of shares and earnings per share (“EPS”) data for all periods presented are based on the historical weighted-average shares of common stock outstanding. EPS for the thirteen weeks and thirty-nine weeks ended September 23, 2012 is computed using the two-class method. The two-class method determines EPS for common stock and participating securities according to dividends and dividend equivalents and their respective participation rights in undistributed earnings. The Company’s convertible preferred stockholders were entitled to receive dividends in the event dividends on the Company’s common stock were declared. As a result, the shares of the Company’s convertible preferred stock were deemed to be participating securities.
In connection with the Company's initial public offering (“IPO”), in July of 2012, all shares of series A preferred stock, series B preferred stock and series X preferred stock were converted into common stock.
Basic EPS of the Company's common stock is computed by dividing net income available to common stockholders by the weighted-average number of shares of common stock outstanding for the period.
Diluted EPS of the Company's common stock is computed on the basis of the weighted-average number of shares of common stock plus the effect of dilutive potential shares of common stock equivalents outstanding during the period using the treasury stock method for dilutive options and the if converted method for convertible preferred stock.
The computation of basic and diluted earnings per share is as follows: