Note 5 - Net Income Per Common Share

9 Months Ended

Sep. 30, 2016

Notes to Financial Statements

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 September 30,				Nine Months Ended September 30,
(In thousands, except per share data)	2016		2015		2016		2015
Net income, basic and diluted	$	4,324	$	3,832	$	14,060	$	11,408
Less preferred stock dividends		-		-		-		395
Net income available to common shareholders, basic and diluted	$	4,324	$	3,832	$	14,060	$	11,013
Average common shares issued and outstanding, basic and diluted		7,505		7,495		7,503		7,492
Net income per common share, basic and diluted	$	.58	$	.51	$	1.87	$	1.47