NET INCOME PER SHARE

6 Months Ended

Jun. 30, 2015

Basic and diluted net income per share was as follows:



	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
	(In thousands, except per share amounts)
Basic net income per share:
Net income	$	4,998	$	4,825	$	13,382	$	7,031
Weighted average common shares outstanding	33,032		32,398		32,884		32,336
Basic net income per common share	$	0.15	$	0.15	$	0.41	$	0.22

Diluted net income per share:
Net income	$	4,998	$	4,825	$	13,382	$	7,031

Weighted average common shares outstanding — Basic	33,032		32,398		32,884		32,336
Effect of dilutive securities:
2016 Convertible notes	477		—		268		—
Stock options and restricted stock	430		406		492		460
Weighted average common shares for diluted earnings per share	33,939		32,804		33,644		32,796
Diluted net income per common share	$	0.15	$	0.15	$	0.40	$	0.21

At June 30, 2015 and 2014, the Company had 1.1 million and 1.4 million of outstanding stock options, respectively. The Company also has warrants outstanding relating to its 2016 Notes at June 30, 2015 and 2014 and the Company's 2016 Notes are convertible to common shares in certain circumstances (see Note 5). Stock options, restricted stock, warrants and the excess conversion value of the 2016 Notes are included in the diluted earnings per share calculation using the treasury stock method, unless the effect of including such items would be anti-dilutive.

For the three months ended June 30, 2015 and 2014, 0.1 million and 0.2 million, respectively, of anti-dilutive stock options were excluded from the diluted earnings per share calculation. For the six months ended June 30, 2015 and 2014, a minimal amount and 0.2 million, respectively, of anti-dilutive stock options were excluded from the diluted earnings per share calculation. The effect of outstanding warrants were anti-dilutive because the strike price of the warrants exceeded the Company’s average stock price for the periods presented.

For the three and six months ended June 30, 2015, the potential excess conversion value on the 2016 Notes was included in the Company's dilutive share calculation because the average stock price for the three and six months ended June 30, 2015 exceeded the conversion price. The potential excess conversion value of the 2016 Notes were anti-dilutive because the conversion price exceeded the Company's stock price for the three and six months ended June 30, 2014; therefore, these amounts have been excluded from the diluted earnings per share calculation.