EARNINGS PER SHARE (“EPS”)

9 Months Ended

Sep. 30, 2022

EARNINGS PER SHARE (“EPS”)

Basic earnings per common share represent income available to common shareholders, divided by the weighted average number of common shares outstanding during the period. Diluted earnings per share reflect additional common shares that would have been outstanding if dilutive potential common shares had been issued. Potential common shares that may have been issued by the Company related to outstanding unvested restricted stock unit and performance stock unit awards were determined using the treasury stock method and included in the calculation of dilutive common stock equivalents. The Company has not granted any stock options since 2007 and all outstanding options expired on July 17, 2017.

As of three and nine months ended September 30, 2022, there were 1,034 and 587, respectively of unvested restricted stock and performance stock unit awards which were excluded from the calculation as their effect would be anti-dilutive. There were 40 and 3,355 antidilutive awards that were excluded from the calculation for the three and nine months ended September 30, 2021. Basic and diluted earnings per share have been computed based on weighted-average common and common equivalent shares outstanding as follows:


(dollars in thousands, except per share amounts)	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021

Net Income	$	7,580	$	6,404	$	20,702	$	19,135

Average number of common shares outstanding	5,636,640		5,709,814		5,656,950		5,813,704
Dilutive effect of common stock equivalents	8,182		10,187		9,000		9,514
Average number of shares used to calculate diluted EPS	5,644,822		5,720,001		5,665,950		5,823,218

Anti-dilutive shares	1,034		40		587		3,355

Earnings Per Common Share
Basic	$	1.34	$	1.12	$	3.66	$	3.29
Diluted	$	1.34	$	1.12	$	3.65	$	3.29