Outstanding Shares and Earnings Per Share

12 Months Ended

Dec. 31, 2012

Outstanding Shares and Earnings Per Share [Abstract]

Outstanding Shares and Earnings Per Share

(11) Outstanding Shares and Earnings Per Share

All income per share amounts have been adjusted to give retroactive effect to stock dividends and stock splits, including the 2% stock dividend declared on January 24, 2013, payable March 29, 2013 to shareholders of record as of February 28, 2013.

Earnings Per Share

	(in thousands, except per share amounts)
	2012			2011			2010
Basic earnings per share:
Net income	$	4,646		$	2,664		$	2,665
Preferred stock dividend and accretion		(1,139	)		(1,399	)		(992	)
Net income available to common shareholders	$	3,507		$	1,265		$	1,673
Weighted average common shares outstanding		9,386,115			9,343,500			9,292,560
Basic earnings per share	$	0.37		$	0.14		$	0.18
Diluted earnings per share:
Net income	$	4,646		$	2,664		$	2,665
Preferred stock dividend and accretion		(1,139	)		(1,399	)		(992	)
Net income available to common shareholders	$	3,507		$	1,265		$	1,673
Net (loss) income available to common shareholders
Weighted average common shares outstanding		9,386,115			9,343,500			9,292,560
Effect of dilutive options		25,629			879			1,631
Adjusted weighted average common shares outstanding		9,411,744			9,344,379			9,294,191
Diluted earnings per share	$	0.37		$	0.14		$	0.18

Basic and diluted earnings per share for the years ended December 31, were computed as follows:

Options not included in the computation of diluted earnings per share because they would have had an anti-dilutive effect amounted to 355,070 shares, 417,942 shares and 507,260 shares for the year ended December 31, 2012, 2011, and 2010, respectively. There were no non-vested shares of restricted stock not included in the computation of diluted earnings per share because they would have an anti-dilutive effect for the year ended December 31, 2012. Non-vested shares of restricted stock not included in the computation of diluted earnings per share because they would have had an anti-dilutive effect amounted to 45,946 shares and 47,018 shares for the year ended December 31, 2011 and 2010, respectively. In addition, 352,977 warrants issued to the U.S. Treasury were not used in the computation of diluted earnings per share for the years ended December 31, 2011 and 2010 because they would have had an anti-dilutive effect.