NOTE K – Earnings Per Share

We report our earnings per share using the two-class method. The income per share for each class of common stock is calculated assuming 100% of our earnings are distributed as dividends to each class of common stock based on their contractual rights.

The Common Stock of the Company has a preferential dividend rate of at least 105% of the dividend paid on the Class A Common Stock. The Class A Common Stock, which has ten votes per share as opposed to one vote per share for the Common Stock (on all matters other than the election of directors), may be converted at any time on a one-for-one basis into Common Stock at the option of the holder of the Class A Common Stock.

	Three Months Ended March 31,
	2020			2019
Numerator:
Common:
Distributed earnings	$	3,459		$	3,386
Undistributed earnings		(1,782	)		(59	)
Basic		1,677			3,327
Class A Common earnings		142			294
Diluted	$	1,819		$	3,621

Class A Common:
Distributed earnings	$	291		$	299
Undistributed earnings		(149	)		(5	)
	$	142		$	294
Denominator:
Common:
Weighted average shares outstanding - basic		17,460			18,792
Assumed conversion of Class A Common Stock		1,532			1,757
Dilutive options, awards and common stock equivalents		274			357

Total weighted-average diluted Common Stock		19,266			20,906

Class A Common:
Weighted average shares outstanding		1,532			1,757
Basic earnings per share:
Common Stock	$	0.10		$	0.18
Class A Common Stock	$	0.09		$	0.17

Diluted earnings per share:
Common Stock	$	0.09		$	0.17
Class A Common Stock	$	0.09		$	0.17