First quarter 2012 EBITDA includes expenses of $1.0 million of stock compensation, $540,000 related to executive management changes and $480,000 for consulting fees in connection with a tax incentive agreement.
|XPO Logistics, Inc.|
|Diluted Share Information|
|Weighted Average Diluted Shares for Three Months Ended|
|March 31, 2012||March 31, 2011|
|Common Stock Outstanding||9,501,336||8,175,681|
|Dilutive effect of outstanding securities:|
|Shares underlying the conversion of preferred stock to common stock||10,714,286||-|
|Shares underlying warrants to purchase common stock||5,411,309||-|
|Shares underlying stock options to purchase common stock||293,578||345,835|
|Shares underlying restricted stock units||97,894||-|
For dilution purposes, GAAP requires diluted shares to be reflected on a weighted average basis, which takes into account the portion of the period in which the diluted shares were outstanding. The table above reflects the weighted average diluted shares for the three-month periods ended March 31, 2012 and 2011, respectively. The impact of this dilution was not reflected in the earnings per share calculations on the Condensed Consolidated Statements of Operations because the impact was anti-dilutive. The treasury method was used to determine the shares underlying the warrants to purchase common stock with an average market price of $14.14 per share for the first quarter 2012 and $10.04 per share for the first quarter 2011, respectively.