Headquartered in Ottawa, Ontario, Canada, Mitel Networks Corporation is a high-tech company that provides unified communications solutions for business. The company focuses almost entirely on Voiceover-IP (VoIP) products. Mitel has partners and resellers worldwide and is listed on the NASDAQ; its income statement follows.Required

a. Identify the components considered operating for each year.

b. Identify the non-recurring items for 2012 and explain how financial analysts would treat each item.

c. What did the company report for basic and diluted earnings per share in 2012 ?

d. Provide two reasons that basic and diluted earnings per share differ in 2012.

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MITEL NETWORKS CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (in U.S. dollars, millions, except per share amounts) Revenues... Cost of revenues Gross margin Expenses: Selling, general and administrative.. Research and development.. Special charges and restructuring costs Loss (gain) on litigation settlement.. Operating income from continuing operations.. Interest expense.. Debt retirement costs, including write-off of related deferred financing costs Fair value adjustment on derivative instruments Other income (expense), net Income (loss) from continuing operations, before income taxes. Current income tax recovery (expense). Deferred income tax recovery (expense). Net income from continuing operations.. Net income from discontinued operations.. Net income.. Net income (loss) per common share-Basic: Net income (loss) per share from continuing operations Net income per share from discontinued operations. Net income (loss) per share Net income (loss) per common share-Dilute Net income (loss) per share from continuing operations Net income per share from discontinued operations.. Net income (loss) per share Weighted-average number of common shares outstanding: April 30, 2012 $611.8 282.4 329.4 222.9 58.6 17.1 1.5 300.1 29.3 (18.8) (0.7) 9.8 (8.4) 47.8 49.2 0.6 $ 49.8 $ 0.92 $ 0.01 $0.93 $ 0.88 $ 0.01 $ 0.89 April 30, 2011 $589.3 281.9 307.4 212.8 61.3 15.5 1.0 290.6 16.8 (20.0) (0.6) 1.0 0.8 (2.0) (8.0) 96.4 86.4 1.7 $ 88.1 $ 1.63 $ 0.03 $1.66 $ 1.54 $ 0.03 $ 1.57 April 30, 2010 $599.1 288.6 310.5 203.6 57.6 5.2 (5.5) 260.9 49.6 (29.8) (1.0) 7.4 0.9 27.1 (3.6) 12.6 36.1 1.1 $ 37.2 $(7.37) $ 0.07 $(7.30) $(7.37) $ 0.07 $ (7.30)