WEIGHTED AVERAGE COMMON SHARES

12 Months Ended

Dec. 31, 2011

WEIGHTED AVERAGE COMMON SHARES [Abstract]

WEIGHTED AVERAGE COMMON SHARES

3. WEIGHTED AVERAGE COMMON SHARES

The weighted average numbers of common shares used to compute basic and diluted income per share for the years ended December 31, 2011, 2010 and 2009, respectively were as follows:

	Year Ended December 31,
	2011		2010		2009
Basic shares outstanding		22,019,563		24,418,460		26,337,172
Dilutive effect of stock options		135,437		605,713		757,926
Diluted shares outstanding		22,155,000		25,024,173		27,095,098

For the years ended December 31, 2011, 2010 and 2009, options to acquire 399,583, 201,500, and 186,500 shares, respectively, were excluded from the above table because they have an exercise price that is greater than the average market price of the Company's common stock and therefore their impact on reported earnings per share would have been antidilutive.

In 2011, the Company issued certain members of management performance shares that vest when certain performance conditions are met.  These performance conditions have not been met in 2011 with respect to the Company's performance shares.  As a result, the Company has determined these shares to be contingently issuable.  Accordingly, 134,131 shares of outstanding performance shares have been excluded from the computation of diluted earnings per share for the year ended December 31, 2011.  Refer to Note 9 for more information on performance shares.