Net Income Per Share:

9 Months Ended

Sep. 30, 2011

Net Income Per Share:

Net income per share is computed by dividing net income by the weighted average number of common shares outstanding. Diluted net income per share is computed by dividing net income by the weighted average number of common shares outstanding plus dilutive securities. Dilutive securities are outstanding common stock options (excluding stock options with an exercise price in excess of the average market value for the period), less the number of shares that could have been purchased with the proceeds from the exercise of the options, using the treasury stock method. Options that are anti-dilutive because their exercise price exceeded the average market price of the common stock for the period approximated 295,000 and 559,000 for the three months ended September 30, 2011 and 2010, respectively and 189,000 and 742,000 for the nine months ended September 30, 2011 and 2010, respectively.

The following table presents the calculation of net earnings per common share (“EPS”) — basic and diluted.



	Three months ended September 30,				Nine months ended September 30,
	2011		2010		2011		2010
Net income	$	9,261	$	8,975	$	26,827	$	20,943
Weighted average number of common shares outstanding (for basic calculation)	13,932		13,489		13,826		13,605
Dilutive securities	252		263		343		233
Weighted average common and common equivalent shares outstanding (for diluted calculation)	14,184		13,752		14,169		13,838
EPS — basic	$	0.66	$	0.67	$	1.94	$	1.54
EPS — diluted	$	0.65	$	0.65	$	1.89	$	1.51