Net Income Per Share

12 Months Ended

Dec. 31, 2011

Net Income Per Share [Abstract]

Net Income Per Share

12) Net Income Per Share

Basic net income per common share is determined by dividing net income by the basic weighted average number of shares of common stock outstanding. Diluted net income per common share includes the potentially dilutive effect of common shares issued in connection with outstanding stock options using the treasury stock method and the dilutive impact of restricted stock units. Stock options to acquire 1,307,000, 1,126,000 and 735,000 weighted average common shares for the years ended December 31, 2011, 2010 and 2009 have been excluded from the computation of diluted weighted average shares outstanding for each respective period as their effect is anti-dilutive.

The Company calculates net income per share pursuant to the two-class method which requires all outstanding unvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) to be considered participating securities and included in the computation of basic and diluted earnings per share using the two-class method. The Company included in its computation of weighted average shares outstanding approximately 60,000 weighted average outstanding shares of unvested restricted stock deemed to be participating securities for the year ended December 31, 2011. The following table identifies the components of net income per basic and diluted share (in thousands, except for per share data):

	December 31,
	2011		2010		2009
Shares outstanding at end of period		10,204		9,479		9,472
Basic weighted average shares outstanding		9,674		9,524		9,374
Dilutive effect of stock options and restricted stock units		25		72		133
Total diluted weighted average shares outstanding		9,699		9,596		9,507
Net income	$	2,835	$	7,700	$	8,495
Basic net income per common share	$	0.29	$	0.81	$	0.91
Diluted net income per common share	$	0.29	$	0.80	$	0.89