EARNINGS PER SHARE

6 Months Ended

Jun. 30, 2015

NOTE 3: EARNINGS PER SHARE

The Corporation has granted stock compensation awards with non-forfeitable dividend rights, which are considered participating securities. Accordingly, earnings per share (“EPS”) is computed using the two-class method as required by ASC 260-10-45. Basic EPS is computed by dividing net income allocated to common stock by the weighted average number of common shares outstanding during the period, which excludes the participating securities. ESOP shares are not considered outstanding for EPS computation purposes until they are earned. The following table presents the computation of basic and diluted EPS for the periods indicated:

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014

Net income	$	1,548	$	1,141	$	3,001	$	2,206
Allocated to preferred stock		-		91		-		181
Allocated to participating securities		15		-		29		-
Net income allocated to common shareholders	$	1,533	$	1,050	$	2,972	$	2,025

Weighted average common shares outstanding, gross		2,513,696		1,537,229		2,513,696		1,535,292
Less: Average participating securities		24,000		-		24,000		-
Weighted average common shares outstanding, net		2,489,696		1,537,229		2,489,696		1,535,292
Effect of diluted based awards		3,349		3,872		3,091		4,254
Weighted average shares and common stock equivalents		2,493,045		1,541,101		2,492,787		1,539,546
Basic	$	0.62	$	0.68	$	1.19	$	1.32
Diluted	$	0.62	$	0.68	$	1.19	$	1.32
Options excluded from the calculation due to their anti-dilutive effect on earnings per share		30,000		-		30,000		-