NOTE 4-EARNINGS PER SHARE

Basic earnings per share is computed by dividing net income for the period by the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed by dividing net income for the period by the weighted average number of common shares outstanding during the period, plus the dilutive effect of outstanding stock options and restricted stock-based awards using the treasury stock method.

The following table sets forth the computation of basic and diluted earnings per share:


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2018		2017		2018		2017
	(in thousands, except per share data)				(in thousands, except per share data)

Net income	$	359	$	549	$	477	$	913

Comprehensive income	$	247	$	574	$	450	$	949

Weighted average outstanding shares of common stock		7,317		7,333		7,322		7,331
Dilutive potential common shares from stock options and restricted stock units		90		87		88		85
Common stock and common stock equivalents		7,407		7,420		7,410		7,416

Earnings per share, basic and diluted	$	0.05	$	0.07	$	0.06	$	0.12

Comprehensive income per share: basic and diluted	$	0.03	$	0.08	$	0.06	$	0.13

Shares subject to anti-dilutive stock options and restricted stock-based awards excluded from calculation		38		82		40		84