Earnings Per Share

6 Months Ended

Jun. 30, 2014

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

Earnings Per Share

Basic net income per common share available to common stockholders is calculated as net income less preferred stock dividends divided by the weighted average number of common shares outstanding.  Diluted net income per common share available to common stockholders is computed using the weighted average number of common shares outstanding, increased by the assumed conversion of the Company’s convertible preferred stock and the Company’s stock options, unless anti-dilutive.

The components of basic and diluted net income per common share available to common stockholders for the three and six-month period ended June 30, 2014 and 2013 were as follows:

	Three months ended June 30,						Six months ended June 30,
	2014			2013			2014			2013
Basic Net Income per Common Share
Available to Common Stockholders:
Net income	$	4,029,000		$	3,665,000		$	7,636,000		$	7,193,000
Preferred stock dividends	(1,104,000		)	(1,105,000		)	(2,208,000		)	(2,209,000		)
Net income available to common stockholders	$	2,925,000		$	2,560,000		$	5,428,000		$	4,984,000
Weighted average common shares outstanding	5,880,919			5,951,981			5,882,123			5,953,623
Basic earnings per common share	$	0.49		$	0.43		$	0.92		$	0.84
Diluted Net Income per Common Share
Available to Common Stockholders:
Net income available to common stockholders	$	2,925,000		$	2,560,000		$	5,428,000		$	4,984,000
Effect of assumed preferred stock conversion	1,104,000						2,208,000			—
Net income applicable to diluted earnings per share	$	4,029,000		$	2,560,000		$	7,636,000		$	4,984,000
Weighted average common shares outstanding	5,880,919			5,951,981			5,882,123			5,953,623
Dilutive potential common shares:
Assumed conversion of stock options	—			1,118			—			1,124
Restricted stock awarded	9,501			9,027			9,051			9,027
Assumed conversion of preferred stock	2,494,569			—			2,494,679			—
Dilutive potential common shares	2,504,070			10,145			2,503,730			10,151
Diluted weighted average common shares outstanding	8,384,989			5,962,126			8,386,303			5,963,774
Diluted earnings per common share	$	0.48		$	0.43		$	0.91		$	0.84

The following shares were not considered in computing diluted earnings per share for the three and six-month periods ended June 30, 2014 and 2013 because they were anti-dilutive:

	Three months ended June 30,		Six months ended June 30,
	2014	2013	2014	2013
Stock options to purchase shares of common stock	128,750	104,750	128,750	104,750
Average dilutive potential common shares associated with convertible preferred stock	—	2,494,801	—	2,494,801