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 (loss) earnings per share of common stock for the periods indicated:


	For the three months ended June 30,				For the six months ended June 30,
	2019		2018		2019		2018
	(Dollars in thousands, except per share)

Net (loss) income	$	(135)	$	(127)	$	142	$	(211)
Less net (loss) income attributable to participating securities		(2)		—		2		—
(Loss) income available to common stockholders	$	(133)	$	(127)	$	140	$	(211)

Weighted average common shares outstanding for basic earnings (loss) per common share		26,858,018		26,740,082		26,711,043		26,752,550
Add: dilutive effects of assumed exercises of stock options		—		—		—		—
Add: dilutive effects of unvested restricted stock awards		—		—		396,331		—
Weighted average common shares outstanding for diluted earnings (loss) per common share		26,858,018		26,740,082		27,107,374		26,752,550

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

Unvested restricted stock awards of 388,215 shares of common stock and stock options for 455,000 shares of common stock for the three months ended June 30, 2019 and unvested restricted stock awards of 10,399 shares of common stock and stock options for 537,500 shares of common stock for the three and six months ended June 30, 2018 were not considered in computing diluted earnings per common share because they were anti-dilutive.