EARNINGS PER SHARE

9 Months Ended

Sep. 30, 2011

Notes to Financial Statements [Abstract]

NOTE 2. EARNINGS PER SHARE

Basic earnings per common share is net income available to common shareholders divided by the weighted average number of common shares outstanding during the period. Diluted earnings per common share includes the dilutive effect of additional potential common shares issuable under stock options, stock awards and warrants.

	Three Months Ended September 30,		Nine Months Ended September 30,
	2011	2010	2011	2010
Net income	$ 8,447	$ 6,521	$ 22,401	$ 18,761
Dividends and accretion of discount on preferred stock	0	0	0	3,187
Net income available to common shareholders	$ 8,447	$ 6,521	$ 22,401	$ 15,574


Weighted average shares outstanding for basic earnings per common share	16,208,889	16,138,809	16,201,900	16,112,108
Dilutive effect of stock options, awards and warrants	115,169	93,445	107,914	93,025
Weighted average shares outstanding for diluted earnings per common share	16,324,058	16,232,254	16,309,814	16,205,133

Basic earnings per common share	$ 0.52	$ 0.40	$ 1.38	$ 0.97
Diluted earnings per common share	$ 0.52	$ 0.40	$ 1.37	$ 0.96

Stock options for 70,000 and 95,000 shares for the three-month periods ended September 30, 2011 and September 30, 2010, respectively, were not considered in computing diluted earnings per common share because they were antidilutive. Stock options for 70,000 and 109,000 shares for the nine-month periods ended September 30, 2011 and September 30, 2010, respectively, were not considered in computing diluted earnings per common share because they were antidilutive. In addition, warrants for 198,269 shares for the three-month and nine-month periods ended September 30, 2010, were not considered in computing diluted earnings per share because they were antidilutive.