Earnings per Share

6 Months Ended

Jun. 30, 2015

Note 2 - Earnings per Share

The following table sets forth the computation of earnings per share. Earnings per share calculations give retroactive effect to stock dividends declared by the Company.

	Three months ended		Six months ended
	June 30,		June 30,
	2015	2014	2015	2014
Net income applicable to common stock	$3,189,000	$3,365,000	$6,309,000	$6,541,000

Basic earnings per share computation
Weighted average common shares outstanding	3,019,661	3,039,734	3,022,945	3,040,822
Earnings per share - basic	$1.06	$1.11	$2.09	$2.15

Diluted earnings per share computation
Weighted average common shares outstanding for basic earnings per share	3,019,661	3,039,734	3,022,945	3,040,822
Add: Dilutive effects of restricted stock	1,064	927	534	405
Weighted average common shares outstanding for dilutive earnings per share	3,020,725	3,040,661	3,023,479	3,041,227
Earnings per share - diluted	$1.06	$1.11	$2.09	$2.15

For the three months ended June 30, 2015 and 2014, there were 3,287 and 2,188 shares, respectively, related to the restricted stock plan that were excluded from the diluted earnings per share calculations since they were anti-dilutive. These anti-dilutive shares had prices ranging from $44.50-$53.15 for the three month period ended June 30, 2015 and prices ranging from $50.15-$50.50 for the three month period ended June 30, 2014. For the six months ended June 30, 2015 and 2014, 3,287 and 2,409 shares, respectively, related to the restricted stock plan were excluded from the diluted earnings per share calculations since they were anti-dilutive. These anti-dilutive shares had prices ranging from $44.50-$53.15 for the six month period ended June 30, 2015 and prices ranging from $34.70-$50.50 for the six month period ended June 30, 2014.