
	Three Months Ended
(in millions, except per share data)	April 4, 2026		March 29, 2025
Numerator for basic and diluted earnings (loss) per common share:


Net income	$	38	$	6
Less: preferred stock dividends	9		9
Less: undistributed income allocated to preferred stockholders	3		—
Net income (loss) available to common stockholders	$	26	$	(3)

Denominator for basic and diluted earnings (loss) per common share:
Weighted average basic number of common shares outstanding	151		148
Plus: dilutive effect of common stock equivalents	4		—
Weighted average diluted number of common shares outstanding	155		148


Earnings (loss) per common share:


Basic	$	0.17	$	(0.02)




Diluted	$	0.17	$	(0.02)

The preferred stock is a participating security; therefore, we apply the two‑class method in the calculation of basic and diluted earnings (loss) per share. Under this method, net income is allocated to common stockholders and participating preferred stockholders based on their respective rights to receive dividends as if all earnings for the period had been distributed. Losses are not allocated to the preferred stockholders given the holders are not contractually obligated to share in losses. Diluted earnings (loss) per common share is computed based upon the weighted average number of common shares outstanding for the year plus the dilutive effect of common stock equivalents using the if-converted method and treasury stock method using the average market price of our common stock for the period, except when the inclusion of such instruments would be antidilutive.

The following potentially dilutive instruments, presented as a weighted-average of the instruments outstanding, were excluded from the calculation of diluted earnings (loss) per common share because their effect would have been antidilutive, and in the case of certain PSUs, the contingency has not been satisfied.