3. Earnings per Common Share

6 Months Ended

Jun. 30, 2012

Notes to Financial Statements

3. Earnings per Common Share

Note 3.  Earnings per Common Share

Earnings per common share amounts are computed based on the weighted average number of shares of common stock issued during the period (retroactively adjusted for stock splits and stock dividends), including Dividend Reinvestment Plan shares issuable upon reinvestment of dividends declared, and reduced for shares held in treasury.

The following table illustrates the calculation for the periods ended June 30, as adjusted for the cash dividends declared on the preferred stock:

For The Quarter Ended June 30,	2012		2011
Net income, as reported	$	1,021,192	$	871,318
Less: dividends to preferred shareholders		46,875		46,875
Net income available to common shareholders	$	974,317	$	824,443
Weighted average number of common shares
used in calculating earnings per share		4,760,169		4,663,166
Earnings per common share	$	0.20	$	0.18
For the Six Months Ended June 30,		2012		2011
Net income, as reported	$	1,986,042	$	1,816,187
Less: dividends to preferred shareholders		93,750		93,750
Net income available to common shareholders	$	1,892,292	$	1,722,437
Weighted average number of common shares
used in calculating earnings per share		4,748,013		4,649,322
Earnings per common share	$	0.40	$	0.37