Earnings (loss) Per Share

12 Months Ended

Dec. 31, 2011

Earnings (loss) Per Share

Earnings (loss) Per Share

17. Earnings (loss) Per Share

Earnings (loss) per share of common stock is calculated on both a basic and diluted basis based on the weighted average number of common and common equivalent shares outstanding, excluding common shares in treasury. Basic earnings (loss) per share excludes dilution and is computed by dividing income available to stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted from the issuance of common stock that then would share in earnings.

A reconciliation of the numerators and denominators used in basic and diluted earnings per share computations is presented in the table below.  Excluded from the diluted earnings per share calculation were options of 404,166 for the year ended December 31, 2011 and 448,332 for the year ended December 31, 2010, as the exercise prices exceeded the stock price at the end of each period. For the year ended December 31, 2009, 533,500 options and 966,400 warrants were excluded from the diluted earnings per share calculation due to the Company recording a net loss for the year.

	Income/(Loss)			Shares	Per Share
	(numerator)			(denominator)	Amount
	(dollars in thousands, except share data)
For the year ended December 31, 2011:
Net income applicable to earnings per share	$	10,572
Basic earnings per share: Income available to common stockholders	10,572			10,092,181	$	1.05
Effect of dilutive securities: Warrants and stock option plans	—			538,539
Diluted earnings per share: Income available to common stockholders	$	10,572		10,630,720	$	0.99
For the year ended December 31, 2010:
Net income applicable to earnings per share	$	4,238
Basic earnings per share: Income available to common stockholders	4,238			10,033,836	$	0.42
Effect of dilutive securities: Warrants and stock option plans	—			1,023,568
Diluted earnings per share: Income available to common stockholders	$	4,238		11,057,404	$	0.38
For the year ended December 31, 2009:
Net loss applicable to earnings per share	$	(460	)
Basic loss per share: loss available to common stockholders	(460		)	5,642,589	$	(0.08	)
Diluted loss per share: loss available to common stockholders	$	(460	)	5,642,589	$	(0.08	)