Earnings per Common Share

3 Months Ended

Mar. 31, 2017

14. EARNINGS PER COMMON SHARE

Basic earnings per common share is calculated by dividing net income available to common stockholders by the weighted average number of shares of common stock outstanding net of unvested shares of restricted stock.

Diluted earnings per common share is calculated by dividing net income available to common stockholders by the weighted average number of shares of common stock outstanding, adjusted for the dilutive effect of potential common shares issuable for stock options, warrants and restricted shares, as calculated using the treasury stock method. Adjustments to the weighted average number of shares of common stock outstanding are made only when such adjustments dilute earnings per common share.

The following table sets forth the computation of basic and diluted earnings per common share:


	Three Months Ended
	March 31,
(dollars in thousands, except per share data)	2017		2016
Net income	$	22,979	$	26,132
Less: Preferred stock dividends		2,010		2,010

Net income available to common stockholders	$	20,969	$	24,122


Basic weighted average common shares outstanding		237,379,260		193,585,702
Net effect of dilutive stock options, warrants and restricted stock		1,875,389		1,292,220

Diluted weighted average common shares outstanding		239,254,649		194,877,922


Earnings per common share:
Basic	$	0.09	$	0.12

Diluted	$	0.09	$	0.12

The following table shows the average shares excluded from the above calculation as their effect would have been anti-dilutive:


	Three Months Ended
	March 31,
	2017		2016
Average shares excluded from the diluted earnings per common share calculation		81,755		15,501