NOTE (2) – Earnings Per Share of Common Stock

Basic earnings per share of common stock is computed pursuant to the two-class method by dividing net income available to common stockholders less dividends paid on participating securities (unvested shares of restricted common stock) and any undistributed earnings attributable to participating securities by the weighted average common shares outstanding during the period. The weighted average common shares outstanding includes the weighted average number of shares of common stock outstanding less the weighted average number of unvested shares of restricted common stock. ESOP shares are considered outstanding for this calculation unless unearned. Diluted earnings per share of common stock includes the dilutive effect of unvested stock awards and additional potential common shares issuable under stock options.

The following table shows how the Company computed basic and diluted earnings per share of common stock for the periods indicated:



	For the three months ended March 31,
	2019		2018
	(In thousands, except share and per share)

Net income (loss)	$	277	$	(84)
Less net income attributable to participating securities		4		—
Net income (loss) available to common stockholders	$	273	$	(84)

Weighted average common shares outstanding for basic earnings per common share		26,546,315		26,766,158
Add: dilutive effects of assumed exercises of stock options		—		—
Weighted average common shares outstanding for diluted earnings per common share		26,546,315		26,766,158

Earnings (loss) per common share - basic	$	0.01	$	(0.00)
Earnings (loss) per common share - diluted	$	0.01	$	(0.00)

Stock options for 455,000 shares of common stock for the three months ended March 31, 2019 and stock options for 537,500 shares of common stock for the three months ended March 31, 2018 were not considered in computing diluted earnings per common share because they were anti-dilutive.