Note 5 - Net Income Per Common Share

3 Months Ended

Mar. 31, 2015

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 was as follows for the periods indicated.

	Three Months Ended March 31,
(In thousands, except per share data)	2015		2014
Net income, basic and diluted	$	4,074	$	3,370
Less preferred stock dividends and discount accretion		225		537
Net income available to common shareholders, basic and diluted	$	3,849	$	2,833
Average common shares issued and outstanding, basic and diluted		7,490		7,479
Net income per common share, basic and diluted	$	.51	$	.38

Stock options for 20,049 shares of common stock were not included in the determination of diluted net income per common share for 2014 because they were antidilutive. All previous outstanding options expired during the fourth quarter of 2014.