Earnings Per Common Share

12 Months Ended

Dec. 31, 2021

Earnings Per Common ShareBasic EPS is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding during the period, after giving retroactive effect to stock splits. Diluted EPS includes accrued but unissued shares relating to the Director Compensation Program, stock options, and restricted stock determined using

the treasury stock method. The dilutive EPS calculation assumes all outstanding stock options to purchase common stock have been exercised at the beginning of the year and the pro forma proceeds from the exercised options and restricted stock are used to purchase common stock at the average fair market valuation price.

The computations of basic and diluted earnings per common share for the Company were as follows:


	Years Ended
	December 31,
(in thousands, except share amounts)	2021		2020
Numerator:
Net income - basic	$	32,952	$	28,145
Net income - diluted	$	32,952	$	28,145

Denominator:
Weighted average shares outstanding - basic	7,281,136		7,322,158
Plus: Effect of Director Compensation Program	923		1,259
Plus: Effect of stock options and restricted stock	17,661		21,628
Weighted average shares outstanding - diluted	7,299,720		7,345,045

Earnings per common share:
Basic	$	4.53	$	3.84
Diluted	$	4.51	$	3.83