Earnings Per Share

6 Months Ended

Jul. 30, 2011

Earnings Per Share

Earnings Per Share

G. EARNINGS PER SHARE

Basic earnings per share is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share is computed by dividing net income available to common stockholders by the weighted average number of outstanding common shares and incremental shares that may be issued in future periods related to outstanding stock options, if dilutive. When calculating incremental shares related to outstanding stock awards, the Company applies the treasury stock method. The treasury stock method assumes that proceeds, consisting of the amount the option holder must pay on exercise, compensation cost attributed to future services and not yet recognized, and excess tax benefits that would be credited to additional paid-in capital upon exercise of the stock award, are used to repurchase outstanding shares at the average market price for the period. The treasury stock method is applied only to share grants for which the effect is dilutive. There were 29,947 and 23,110 anti-dilutive stock options for the thirteen and twenty-six weeks ended July 30, 2011, respectively, related to the stock options granted in June 2011. There were no anti-dilutive options or non-vested stock for the thirteen and twenty-six weeks ended July 31, 2010.

The following is a reconciliation of the outstanding shares utilized in the computation of earnings per share:

	13 Weeks Ended July 30, 2011		13 Weeks Ended July 31, 2010		26 Weeks Ended July 30, 2011		26 Weeks Ended July 31, 2010
Basic weighted average shares outstanding		19,165,207		15,488,800		19,120,820		15,488,800
Dilutive effect of non-vested stock and stock options		225,545		684,946		199,625		696,438
Diluted weighted average shares outstanding		19,390,752		16,173,746		19,320,445		16,185,238