Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Unit of the Operating Partnership

v3.4.0.3
Earnings Per Unit of the Operating Partnership
 3 Months Ended
Mar. 31, 2016
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 earnings per unit (in thousands, except per unit amounts):
 
 
Three months ended March 31,
 
 
2016
 
2015
Numerator
 
 

 
 
Net income attributable to partners of the Operating Partnership
 
$
28,594

 
$
36,367

Less allocation of earnings to participating securities
 
(294
)
 
(408
)
Net income available to common unitholders of the Operating Partnership
 
$
28,300

 
$
35,959

Denominator
 
 
 
 
Basic weighted average common units
 
99,997

 
99,614

Effect of notional units
 
—

 
82

Effect of outstanding options and certain restricted common units
 
59

 
79

Diluted weighted average common units
 
100,056

 
99,775

Basic earnings per common unit:
 
 
 
 
Net income
 
$
0.28

 
$
0.36

Diluted earnings per common unit:
 
 
 
 
Net income
 
$
0.28

 
$
0.36



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.

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 the market price of a Company common share. For the three months ended March 31, 2016, 218,200 options were excluded from the computation and for the three months ended March 31, 2015, 252,000 options were excluded from the computation, as they were anti-dilutive.

Certain of the Company's unvested restricted common share awards contain non-forfeitable rights to distributions or distribution equivalents. The impact of the corresponding 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 units that do not contain non-forfeitable rights to dividends or dividend equivalents are included in the diluted earnings per unit computation if the effect is dilutive, using the treasury stock method.