Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Unit of the Operating Partnership

v2.4.0.6
Earnings Per Unit of the Operating Partnership (Tanger Properties Limited Partnership [Member])
 3 Months Ended
Mar. 31, 2013
Tanger Properties Limited Partnership [Member]
  
Earnings Per Unit of the Operating Partnership
Earnings Per Unit of the Operating Partnership
The following table sets forth a reconciliation of the numerators and denominators in computing the Operating Partnership's earnings per unit (in thousands, except per unit amounts):
 
 
Three months ended March 31,
 
 
2013
 
2012
Numerator
 
 

 
 
Net income attributable to partners of the Operating Partnership
 
$
16,228

 
$
8,841

Less allocation of earnings to participating securities
 
(194
)
 
(158
)
Net income available to common unitholders of the Operating Partnership
 
$
16,034

 
$
8,683

Denominator
 
 
 
 
Basic weighted average common units
 
24,472

 
24,382

Effect of notional units
 
201

 
274

Effect of outstanding options and restricted common units
 
27

 
16

Diluted weighted average common units
 
24,700

 
24,672

Basic earnings per common unit:
 
 
 
 
Net income
 
$
0.66

 
$
0.36

Diluted earnings per common unit:
 
 
 
 
Net income
 
$
0.65

 
$
0.35


The notional units are considered contingently issuable common units and are included in earnings per unit if the effect is dilutive using the treasury stock method.
When the Company issues common shares upon exercise of options or issues restricted share awards, the Operating Partnership issues one corresponding unit to the Company for every four common shares issued.
The computation of diluted earnings per unit excludes options to purchase common units when the exercise price is greater than the average market price of the common units for the period. The market price of a common unit is considered to be equivalent to four times the market price of a Company common share. For the three months ended March 31, 2013, no units were excluded from the computation. For the three months ended March 31, 2012, 43,650 options were excluded from the computation. No options were excluded from the computation for the three months ended March 31, 2013.
Certain of the Company's unvested restricted common share awards contain non-forfeitable rights to distributions or distribution equivalents. The impact of these unvested restricted unit awards on earnings per unit has been calculated using the two-class method whereby earnings are allocated to the unvested restricted unit awards based on distributions declared and the unvested restricted units' participation rights in undistributed earnings. Unvested restricted common shares that do not contain non-forfeitable rights to dividends or dividend equivalents, are included in the diluted earnings per share compilation if the effect is dilutive, using the treasury stock method.