Earnings Per Share Computations

6 Months Ended

Jun. 30, 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 eachperiod.  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 both the three and six-month periods ending June 30, 2013 because the options were out of the money at June 30, 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 both the three and six-month period ending June 30, 2012 because the options were out of the money at June 30, 2012.

The following is a reconciliation of the numerator and denominator of the earnings per common share computations for the three and six-month periods ending June 30, 2013 and 2012:

	Three		Three		Six		Six
	Months		Months		Months		Months
	Ended		Ended		Ended		Ended
	June 30,		June 30,		June 30,		June 30,
	2013		2012		2013		2012
Net income (loss) (numerator) amounts used for basic and diluted per share computations:	$	193,248	$	(166,536)	$	484,329	$	365,968
Weighted average shares (denominator) of common stock outstanding:
Basic		4,157,305		4,115,771		4,153,819		4,113,901
Plus dilutive effect of stock options		25,422		-		19,801		48,193
Diluted		4,182,727		4,115,771		4,173,620		4,162,094
Net income (loss) per common share:
Basic	$	.05	$	(.04)	$	.12	$	.09
Diluted		.05		(.04)		.12		.09