Note 6 - Earnings per Share

6 Months Ended

Jun. 30, 2012

Earnings Per Share [Text Block]

Note 6 – Earnings per Share

Basic net income per share is computed based on the weighted average number of common shares outstanding for each period presented.  Diluted net income per share reflects the potential dilution that would have occurred if securities to issue common stock were exercised, converted, or resulted in the issuance of common stock that would have then shared in our earnings.

The following table summarizes the earnings and the weighted average number of common shares used in the calculation of basic and diluted earnings per share.

	Three Months Ended June 30						Six Months Ended June 30
	2012			2011			2012			2011
(in thousands, except for share and per share amounts)
Basic:
Weighted average common shares outstanding		13,845,516			13,796,715			13,842,797			13,738,748
Net income	$	13,614		$	13,611		$	26,290		$	32,335
Dividends to preferred stockholders		(2,168	)		(2,168	)		(4,336	)		(4,336	)
Net income available to common stockholders		11,446			11,443			21,954			27,999
Earnings per common share, basic	$	.83		$	.83		$	1.59		$	2.04
Diluted:
Weighted average common shares outstanding		13,845,516			13,796,715			13,842,797			13,738,748
Dilutive effect of stock options		9,126			14,368			9,500			14,464
Dilutive effect of restricted stock		3,431			5,108			5,805			6,939
Dilutive effect of contingent issuable stock		117,000			–			83,572			–
Convertible preferred stock		–			–			–			2,623,552
Assumed average common shares outstanding		13,975,073			13,816,191			13,941,674			16,383,703
Net income available to common stockholders	$	11,446		$	11,443		$	21,954		$	27,999
Add dilutive preferred stock dividends for effect of assumed conversion of preferred stock		–			–			–			4,336
Net income for diluted earnings per common share		11,446			11,443			21,954			32,335
Earnings per common share, diluted	$	.82		$	.83		$	1.57		$	1.97

In the above table, options to purchase 1,282,271 and 1,394,379 shares of our common stock have been excluded for 2012 and 2011, respectively, due to their anti–dilutive impact.  We have excluded 2,623,329 of common shares issuable upon the conversion of preferred stock for the six months ended June 30, 2012 and for the three months ended June 30, 2012 and 2011 due to their anti–dilutive impact.