EARNINGS PER SHARE

6 Months Ended

Sep. 30, 2011

10. EARNINGS PER SHARE

Basic earnings per share is calculated by dividing net earnings available to common shareholders by the basic weighted average number of shares of common stock outstanding during each period. Diluted earnings per share is calculated by dividing net earnings available to common shareholders by the basic weighted average number of shares of common stock outstanding plus incremental shares issuable upon the assumed exercise of “in-the-money” stock options and other common stock equivalents during each period.

The following table provides a reconciliation of the numerators and denominators used to calculate basic and diluted net earnings per common share as disclosed on our unaudited condensed consolidated statements of operations for the three and six months ended September 30, 2011 and September 30, 2010 (in thousands, except per share data).

	Three Months Ended September 30,				Six Months Ended September 30,
	2011		2010		2011		2010
Net earnings available to common shareholders—basic and diluted	$	7,064	$	7,909	$	10,767	$	12,622

Weighted average shares outstanding — basic		8,153		8,131		8,230		8,127
Effect of dilutive shares		174		253		192		221
Weighted average shares outstanding — diluted		8,327		8,384		8,422		8,348

Earnings per common share:
Basic	$	0.87	$	0.97	$	1.31	$	1.55
Diluted	$	0.85	$	0.94	$	1.28	$	1.51

All unexercised stock options were included in the computations of diluted earnings per share for the three and six months ended September 30, 2011 and 2010.