COMMON STOCK AND EARNINGS (LOSS) PER SHARE

3 Months Ended

Mar. 31, 2021

COMMON STOCK AND EARNINGS (LOSS) PER SHARE

COMMON STOCK AND EARNINGS (LOSS) PER SHARE

NOTE 15. COMMON STOCK AND EARNINGS (LOSS) PER SHARE

Basic earnings per common share is computed by dividing net income (loss) during the period by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per common share is based on the assumption of the conversion of stock options and vesting of restricted stock at the beginning of each period using the treasury stock method at average cost for the periods.

The following is a reconciliation of basic and diluted earnings per common share for each of the periods presented (in thousands, except share and per share data):

		Three Months Ended
	March 31, 2021		March 31, 2020
Income Available to Common Stockholders:
Net Income (Loss)	$	7,785	$	(12,262)
Weighted Average Shares Outstanding		5,879,085		4,711,396
Common Shares Applicable to Stock
Options Using the Treasury Stock Method		—		—
Total Shares Applicable to Diluted Earnings Per Share		5,879,085		4,711,396
Per Share Information:
Basic Net Income (Loss) per Share	$	1.32	$	(2.60)
Diluted Net Income (Loss) per Share	$	1.32	$	(2.60)

There were no potentially dilutive securities for three months ended March 31, 2021 or 2020. The effect of 19,490 and 14,402 potentially dilutive securities were not included for the three months ended March 31, 2021 and 2020, respectively, as the effect would be anti-dilutive.

The Company intends to settle its 3.875% Convertible Senior Notes due 2025 (the “Convertible Notes”) in cash upon conversion with any excess conversion value to be settled in shares of our common stock. Therefore, only the amount in excess of the par value of the Convertible Notes will be included in our calculation of diluted net income (loss) per share using the treasury stock method. As such, the Convertible Notes have no impact on diluted net income (loss) per share until the price of our common stock exceeds the current conversion price of $53.91. The average price of our common stock during the three months ended March 31, 2021 did not exceed the conversion price which resulted in no additional diluted outstanding shares.