Note 5 - Net Income Per Common Share

6 Months Ended

Jun. 30, 2014

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

5. Net Income Per Common Share

Basic net income per common share is determined by dividing net income available to common shareholders by the weighted average total number of common shares issued and outstanding. Net income available to common shareholders represents net income adjusted for preferred stock dividends including dividends declared, accretion of discounts on preferred stock issuances, and cumulative dividends related to the current dividend period that have not been declared as of the end of the period.

Diluted net income per common share is determined by dividing net income available to common shareholders by the total weighted average number of common shares issued and outstanding plus amounts representing the dilutive effect of stock options outstanding. The effects of stock options outstanding are excluded from the computation of diluted earnings per common share in periods in which the effect would be antidilutive. Dilutive potential common shares are calculated using the treasury stock method.

Net income per common share computations were as follows for the periods indicated.

	Three Months Ended June 30,				Six Months Ended June 30,
(In thousands, except per share data)	2014		2013		2014		2013
Net income, basic and diluted	$	4,824	$	3,547	$	8,194	$	7,339
Less preferred stock dividends and discount accretion		563		487		1,100		972
Net income available to common shareholders, basic and diluted	$	4,261	$	3,060	$	7,094	$	6,367
Average common shares issued and outstanding, basic and diluted		7,482		7,473		7,481		7,471
Net income per common share, basic and diluted	$	.57	$	.41	$	.95	$	.85

Stock options for 18,049 and 22,049 shares of common stock were not included in the determination of diluted net income per common share for each period in 2014 and 2013, respectively, because they were antidilutive.