EARNINGS PER SHARE

9 Months Ended

Sep. 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				Nine Months Ended
	September 30,				September 30,
	2013		2012		2013		2012
Net income available to common shareholders	$	785,669	$	1,029,853	$	2,558,192	$	2,791,665
Basic average shares outstanding		1,847,069		1,887,359		1,864,701		1,886,216
Diluted potential common shares:
Stock option equivalents		2,168		479		292		377
Diluted average shares outstanding		1,849,237		1,887,838		1,864,993		1,886,593
Basic earnings per share	$	0.43	$	0.55	$	1.37	$	1.48
Diluted earnings per share	$	0.42	$	0.55	$	1.37	$	1.48

Stock options for 100,235 shares of common stock were not considered in computing diluted earnings per share for the nine month period ending September 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 nine month periods ending September 30, 2012, because they were anti-dilutive.