Earnings Per Common Share

6 Months Ended

Jun. 30, 2013

Earnings Per Share [Abstract]

Earnings Per Common Share

Earnings Per Common Share

Basic net income per common share is computed by dividing net income by the weighted average number of shares of common stock outstanding for the reporting periods. Diluted net income available to common shareholders per common share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. The numerators of the basic net income per common share computations are the same as the numerators of the diluted net income per common share computations for all the periods presented. Weighted average shares outstanding for the three and six months ended June 30, 2013 excludes 178,281 shares of unvested restricted stock. Weighted average shares outstanding for the three and six months ended June 30, 2012 excludes 205,716 shares of unvested restricted stock. A reconciliation of the denominator of the basic net income per common share computations to the denominator of the diluted net income per common share computations is as follows:

	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2013	2012	2013	2012
Basic EPS denominator:
Weighted average number of common shares outstanding	14,205,223	6,462,173	14,200,264	6,460,786
Dilutive potential common shares	18,381	—	—	—
Diluted EPS denominator	14,223,604	6,462,173	14,200,264	6,460,786

For the quarter and six months ended June 30, 2013 and 2012, net income for determining net income per common share was reported as net income less the dividend on preferred stock. During the quarter and six months ended June 30, 2013, there were 53,616 warrants and stock options that were not considered dilutive because the exercise prices exceeded the average market price per share and 159,665 shares of restricted stock not considered dilutive because they were antidilutive under the treasury stock method or because performance and service criteria had not been met. During the quarter and six months ended June 30, 2012 there were 84,039 warrants and stock options that were not considered dilutive. The non-dilutive options had exercise prices ranging from $9.12 to $57.21 per share.

Effective May 28, 2013, the Company executed a one-for-three reverse stock split. All references to net income per share and weighted average shares outstanding have been adjusted for the effect of this reverse stock split. For additional information related to the reverse stock split, see Note 16, Other Events.