EARNINGS PER SHARE

6 Months Ended

Jun. 30, 2013

Earnings Per Share [Abstract]

EARNINGS PER SHARE

3. EARNINGS PER SHARE

Earnings Per Share - Basic earnings per share is determined by dividing net income for the period by the weighted average number of common shares.  Diluted earnings per share considers the potential effects of the exercise of the outstanding stock options under the Company’s stock option plans.

The following reflects earnings per share calculations for basic and diluted methods:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2013		2012		2013		2012
Net income available to common
shareholders	$	760,075	$	847,063	$	1,772,523	$	1,761,813
Basic average shares outstanding		1,869,499		1,886,211		1,873,692		1,885,638
Diluted potential common shares:
Stock option equivalents		299		475		284		326
Diluted average shares outstanding		1,869,798		1,886,686		1,873,976		1,885,964
Basic earnings per share	$	0.41	$	0.45	$	0.95	$	0.93
Diluted earnings per share	$	0.41	$	0.45	$	0.95	$	0.93

Stock options for 100,335 shares of common stock were not considered in computing diluted earnings per share for the three and six month periods ending June 30, 2013, because they were anti-dilutive.  Stock options for 104,035 shares of common stock were not considered in computing diluted earnings per share for the three and six month periods ending June 30, 2012, because they were anti-dilutive.