9 Earnings per share

Basic earnings per share (‘EPS’) on profit for the year is calculated by dividing profit attributable to equity shareholders of the parent company by the weighted average number of ordinary shares outstanding during the year.

Basic EPS is calculated on the basis of Group profit for the year less profit attributable to minority interests divided by the weighted average number of ordinary shares outstanding during the year.

Diluted earnings per share amounts are calculated by dividing the profit attributable to equity shareholders of the parent company by the weighted average number of ordinary shares outstanding during the year plus the weighted average number of ordinary shares that would be issued on the conversion of all the dilutive potential ordinary shares into ordinary shares.

The shares held by the Dairy Crest Employees’ Share Ownership Plan Trust (‘ESOP’) are excluded from the weighted average number of shares in issue used in the calculation of earnings per share.

To show earnings per share on a consistent basis, which in the directors’ opinion reflects the ongoing performance of the business more appropriately, adjusted earnings per share have been calculated. The computation for basic and diluted earnings per share (including adjusted earnings per share) are as follows:

	Year ended 31 March 2010			Year ended 31 March 2009
	Earnings £m	Weighted average no of shares million	Per share amount pence	Earnings £m	Weighted average no of shares million	Per share amount pence
Basic EPS on profit for the year
Net profit attributable to equity shareholders	54.0	133.0	40.6	75.4	132.8	56.8
Effect of dilutive securities:
Share options	–	1.4	(0.4)	–	1.2	(0.5)
Diluted EPS on profit for the year	54.0	134.4	40.2	75.4	134.0	56.3
Adjusted basic EPS
Basic EPS from continuing operations	54.0	133.0	40.6	75.4	132.8	56.8
Exceptional items excluding minority interest (net of tax)	0.6	–	0.5	33.3	–	25.1
Amortisation of acquired intangible assets (net of tax)	6.2	–	4.6	6.4	–	4.8
Pension interest charge/(credit) (net of tax)	0.4	–	0.3	(5.0)	–	(3.7)
Joint ventures’ exceptional items (net of tax)	(2.0)	–	(1.5)	(50.4)	–	(38.0)
Adjusted basic EPS	59.2	133.0	44.5	59.7	132.8	45.0
Effect of dilutive securities:
Share options	–	1.4	(0.5)	–	1.2	(0.4)
Adjusted diluted EPS	59.2	134.4	44.0	59.7	134.0	44.6

There have been no transactions involving ordinary shares or potential ordinary shares between the reporting date and the date of completion of these financial statements.