kAThMANdu  annual report 2012 71 Basic earnings per share is calculated by dividing the profit attributable to equity holders of the Company by the weighted average  number of ordinary shares in issue during the year. diluted earnings per share is calculated by adjusting the weighted average number of shares outstanding to assume  conversion of all dilutive potential ordinary shares. the Group’s dilutive potential ordinary shares are in the form of share  options / performance rights. the Christchurch earthquake that occurred on 22 February 2011 has not had a significant impact on trading. Kathmandu has  business interruption insurance that provides cover for this event. as at the date of this report one store (Cashel Street) remains closed and will be for the foreseeable future. a business interruption  claim following the 22 February 2011 event has been lodged and remains in process. a further material damage claim has been  lodged to cover any loss of inventory and damage to fixtures and fittings in our Cashel Street store. no expected insurance  proceeds from these claims have been recognised in the financial statements.  there are no events occurring after balance date that materially affect the information within the financial statements. 28 EARNINGS PER ShARE 29 EARThQuAkE dISCLOSuRES 30 EVENTS OCCuRRING AFTER ThE BALANCE dATE 2012 ’000 2011 ’000 Weighted average number of shares in issue 200,000 200,000 Adjustment for: -  Share options / performance rights  3,121 3,254 Total potential diluted ordinary shares 203,121 203,254