Earnings Per Share

9 Months Ended

Sep. 30, 2011

Earnings Per Share Note [Abstract]

Earnings Per Share [Text Block]

Note 2 -- Earnings Per Share

Basic net income per common share available to common stockholders is calculated as net income less preferred stock dividends divided by the weighted average number of common shares outstanding.  Diluted net income per common share available to common stockholders is computed using the weighted average number of common shares outstanding, increased by the assumed conversion of the Company’s convertible preferred stock and the Company’s stock options, unless anti-dilutive.

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The components of basic and diluted net income per common share available to common stockholders for the three and nine-month periods ended September 30, 2011 and 2010 were as follows:

	Three months ended						Nine months ended
	September 30,						September 30,
	2011			2010			2011			2010
Basic Net Income per Common Share
Available to Common Stockholders:
Net income	$	2,679,000		$	2,012,000		$	8,102,000		$	6,342,000
Preferred stock dividends		(919,000	)		(554,000	)		(2,637,000	)		(1,685,000	)
Net income available to common stockholders	$	1,760,000		$	1,458,000		$	5,465,000		$	4,657,000
Weighted average common shares outstanding		6,023,521			6,096,090			6,051,481			6,098,631
Basic earnings per common share	$	.29		$	.24		$	.90		$	.76
Diluted Net Income per Common Share
Available to Common Stockholders:
Net income available to common stockholders	$	1,760,000		$	1,458,000		$	5,465,000		$	4,657,000
Effect of assumed preferred stock conversion		-			-			-			-
Net income applicable to diluted earnings per share	$	1,760,000		$	1,458,000		$	5,465,000		$	4,657,000
Weighted average common shares outstanding		6,023,521			6,096,090			6,051,481			6,098,631
Dilutive potential common shares:
Assumed conversion of stock options		11,769			30,479			12,415			29,006
Restricted stock awarded		128			-			128			-
Assumed conversion of preferred stock		-			-			-			-
Diluted weighted average common shares outstanding		6,035,418			6,126,569			6,064,024			6,127,637
Diluted earnings per common share	$	.29		$	.24		$	.90		$	.76

The following shares were not considered in computing diluted earnings per share for the three and nine-month periods ended September 30, 2011 and 2010 because they were anti-dilutive:

	Three months ended				Nine months ended
	September 30,				September 30,
	2011		2010		2011		2010
Stock options to purchase shares of common stock		202,970		202,970		202,970		202,970
Average dilutive potential common shares associated with convertible preferred stock		2,078,788		1,118,429		1,960,390		1,118,429