Earnings Per Share Computations

3 Months Ended

Mar. 31, 2013

Earnings Per Share Computations [Abstract]

Earnings Per Share Computations

3.   EARNINGS PER SHARE COMPUTATIONS

Basic net income per common share is based on the weighted average number of common shares outstanding during each period.  Diluted net income per common share takes into effect the dilutive effect of potential common shares outstanding.  The Company’s potential common shares outstanding are stock options.  Options to purchase 104,500 shares of common stock at an average price of $14.44 per share were outstanding but not included in the computation of diluted earnings per share for the three-month period ending March 31, 2013 because the options were out of the money at March 31, 2013.  Options to purchase 119,500 shares of common stock at an average price of $14.36 per share were outstanding but not included in the computation of diluted earnings per share for the three-month period ending March 31, 2012 because the options were out of the money at March 31, 2012.

The following is a reconciliation of the numerator and denominator of the earnings per common share computations for the three and nine-month periods ending March 31, 2013 and 2012:

	Three Months		Three Months
	Ended		Ended
	March 31, 2013		March 31, 2012
Net income (numerator) amounts used for basic and diluted per share computations:	$	291,081	$	532,504
Weighted average shares (denominator) of common stock outstanding:
Basic		4,149,437		4,109,121
Plus dilutive effect of stock options		21,330		51,108
Diluted		4,170,767		4,160,229
Net income per common share:
Basic	$	.07	$	.13
Diluted		.07		.13