Note 8 - Earnings Per Share

3 Months Ended

Mar. 31, 2013

Earnings Per Share [Text Block]

8. Earnings Per Share

           The following table details the computation of basic and diluted earnings per share (in thousands except share and per share data):

	Three months ended March 31,
	2013		2012
Numerator:
Net income, basic	$	6,678	$	3,042
Effect of interest related to the Notes		499		0
Net income available to common stockholders, diluted	$	7,177	$	3,042
Denominator:
Denominator for basic earnings per share -- weighted-average shares		13,148,717		13,266,908
Effect of dilutive securities:
Common stock options and restricted stock awards		219,505		137,925
Notes		1,139,145		0
Denominator for diluted earnings per share -- adjusted weighted-average shares assumed conversion		14,507,367		13,404,833
Basic earnings per share	$	0.51	$	0.23
Diluted earnings per share	$	0.49	$	0.23

The effect of issuing 1,139,145 shares of common stock on an assumed conversion basis related to the Notes was included in the computation of diluted earnings per share for the three months ended March 31, 2013 as they have a dilutive effect.  The effect of issuing 1,198,932 shares of common stock on an assumed conversion basis related to the Notes was not included in the computation of diluted earnings per share for the three months ended March 31, 2012 as it would have been antidilutive.  For the three months ended March 31, 2013 and 2012, employee stock options to purchase 880,010 and 1,390,185 shares of common stock, respectively, were not included in the computation of diluted earnings per share as the exercise price of these options was greater than the average fair value of the common stock for the period and, therefore, the effect of these options would have been antidilutive.