Earnings Per Share

3 Months Ended

Mar. 31, 2013

Earnings Per Share

Earnings Per Share

Note 11 — Earnings Per Share

Basic earnings per share are calculated by dividing net income available to common shareholders by the weighted-average shares of common stock outstanding during each period, excluding non-vested shares.  The Company’s diluted earnings per share are based on the weighted-average shares of common stock outstanding during each period plus the maximum dilutive effect of common stock issuable upon exercise of stock options or vesting of restricted shares.  The weighted-average number of shares and equivalents are determined after giving retroactive effect to stock dividends and stock splits.

The following table sets forth the computation of basic and diluted earnings per share for the three months ended March 31, 2013 and 2012:

	Three Months Ended
	March 31,
(Dollars and shares in thousands)	2013		2012
Basic earnings per share:
Net income	$	10,649	$	7,028
Weighted-average basic shares	16,769		13,883
Basic earnings per share	$	0.64	$	0.51
Diluted earnings per share:
Net income	$	10,649	$	7,028
Weighted-average basic shares	16,769		13,883
Effect of dilutive securities	167		68
Weighted-average dilutive shares	16,936		13,951
Diluted earnings per share	$	0.63	$	0.50

The calculation of diluted earnings per share excludes outstanding stock options that have exercise prices greater than the average market price of the common shares for the period as follows:

	Three Months Ended
	March 31,
(Dollars in thousands)	2013	2012
Number of shares	21,361	216,268
Range of exercise prices	$41.45-$41.45	$31.10 - $40.99