8.	EARNINGS PER SHARE

Net income per share of the Company's former class A common stock and class B common stock is computed using the

two

-class method. Basic net income per share is computed by allocating undistributed earnings to common shares and using the weighted-average number of common shares outstanding during the period.

Diluted net income per share is computed using the weighted-average number of common shares and, if dilutive, the potential common shares outstanding during the period. Potential common shares consist of the incremental common shares issuable upon the exercise of stock options and vesting of restricted stock. The dilutive effect of outstanding stock options is reflected in diluted earnings per share by application of the treasury stock method.

The liquidation rights and the rights upon the consummation of an extraordinary transaction were the same for the holders of the Company's former class A common stock and class B common stock. Other than share distributions and liquidation rights, the amount of any dividend or other distribution payable on each share of class A common stock was equal to

one

sixth

(

1/6th

) of the amount of any such dividend or other distribution payable on each share of class B common stock. As a result, the undistributed earnings for each period are allocated based on the contractual participation rights of the class A and class B common stock as if the earnings for the period had been distributed.

For the

three

months ended

March 31, 2017,

128,530

options of class A shares have been excluded from the diluted net income per share computation because the exercise or grant price exceeded the fair market value. For the

three

months ended

March 31, 2018

and

2017

an additional

72,860

and

123,274

of class A shares, respectively were excluded as their inclusion would be anti-dilutive. An additional

49,320

of class B shares were excluded for the

three

months ended

March 31, 2017

as their inclusion would be anti-dilutive.

	For the Three Months Ended March 31, 2018						For the Three Months Ended March 31, 2017
	Class A Common Stock			Class B Common Stock			Class A Common Stock			Class B Common Stock
	(In thousands, except per share data)
Numerator for net income per share - basic:
Net income	$	3,630		$	3,676		$	3,234		$	3,287
Allocation of distributed and undistributed income to unvested restricted stock shareholders		(15	)		(14	)		(27	)		(27	)
Net income attributable to common shareholders	$	3,615		$	3,662		$	3,207		$	3,260
Denominator for net income per share - basic:
Weighted average common shares outstanding - basic		20,884			3,527			20,737			3,513
Net income per share – basic	$	0.17		$	1.04		$	0.15		$	0.93
Numerator for net income per share - diluted:
Net income attributable to common shareholders for basic computation	$	3,615		$	3,662		$	3,207		$	3,260
Denominator for net income per share - diluted:
Weighted average common shares outstanding - basic		20,884			3,527			20,737			3,513
Weighted average effect of dilutive securities – stock options		953			103			508			63
Denominator for diluted earnings per share – adjusted weighted average shares		21,837			3,630			21,245			3,576
Net income per share – diluted	$	0.17		$	1.01		$	0.15		$	0.91