2 - EARNINGS PER SHARE

The following table sets forth the calculation of basic and diluted earnings per share (“EPS”) for the periods indicated.



	Six Months Ended				Three Months Ended
	June 30,				June 30,
(dollars in thousands, except per share data)	2017		2016		2017		2016
Net income	$	18,214	$	15,364	$	9,133	$	7,729
Income allocated to participating securities (1)		68		65		34		33
Income allocated to common stockholders	$	18,146	$	15,299	$	9,099	$	7,696

Weighted average:
Common shares		23,975,687		21,902,417		24,091,447		22,529,255
Dilutive stock options and restricted stock units (1)		257,063		266,330		249,901		257,975
		24,232,750		22,168,747		24,341,348		22,787,230
Earnings per share:
Basic		$.76		$.70		$.38		$.34
Diluted		.75		.69		.37		.34

(1) Restricted stock units (“RSUs”) awarded in 2016 accrue dividends at the same rate as the dividends declared by the Board of Directors on the Corporation’s common stock. For purposes of computing EPS, these RSUs are considered to participate with common stock in the earnings of the Corporation and, therefore, the Corporation is required to calculate basic and diluted EPS using the two-class method. Under the two-class method, net income for the period is allocated between common stockholders and participating securities according to dividends declared and participation rights in undistributed earnings.