Outstanding Shares and Earnings Per Share

12 Months Ended

Dec. 31, 2013

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 3% stock dividend declared on January 23, 2014, payable March 31, 2014 to shareholders of record as of February 28, 2014.

Earnings Per Share

	(in thousands, except per share amounts)
	2013			2012			2011
Basic  earnings per share:
Net income	$	5,384		$	4,646		$	2,664
Preferred stock dividend and accretion		(677	)		(1,139	)		(1,399	)
Net income available to common shareholders	$	4,707		$	3,507		$	1,265
Weighted average common shares outstanding		9,699,064			9,669,192			9,627,350
Basic earnings per share	$	0.49		$	0.36		$	0.13
Diluted earnings per share:
Net income	$	5,384		$	4,646		$	2,664
Preferred stock dividend and accretion		(677	)		(1,139	)		(1,399	)
Net income available to common shareholders	$	4,707		$	3,507		$	1,265
Net (loss) income available to common shareholders
Weighted average common shares outstanding		9,699,064			9,669,192			9,627,350
Effect of dilutive shares		37,061			26,398			906
Adjusted weighted average common shares outstanding		9,736,125			9,695,590			9,628,256
Diluted earnings per share	$	0.48		$	0.36		$	0.13

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 312,864 shares, 365,722 shares, and 430,480 shares for the years ended December 31, 2013, 2012, and 2011, respectively.  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 2,071 shares, 0 shares, and 47,324 shares for the years ended December 31, 2013, 2012, and 2011, 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 year ended December 31, 2011 because they would have had an anti-dilutive effect.