Earnings Per Common Share

12 Months Ended

Dec. 31, 2011

Earnings Per Share [Abstract]

Earnings Per Common Share

Earnings per Common Share

Washington Trust utilizes the two-class method earnings allocation formula to determine earnings per share of each class of stock according to dividends and participation rights in undistributed earnings.  Share based payments that entitle holders to receive non-forfeitable dividends before vesting are considered participating securities and included in earnings allocation for computing basic earnings per share under this method.  Undistributed income is allocated to common shareholders and participating securities under the two-class method based upon the proportion of each to the total weighted average shares available.

The calculation of earnings per common share is presented below.

(Dollars and shares in thousands, except per share amounts)
Years ended December 31,	2011			2010			2009
Net income		$29,724			$24,051			$16,096
Less:
Dividends and undistributed earnings allocated to participating securities	(112		)	(65		)	—
Net income applicable to common shareholders	29,612			23,986			16,096
Weighted average basic common shares	16,254			16,114			15,995
Dilutive effect of:
Common stock equivalents	30			9			46
Weighted average diluted common shares	16,284			16,123			16,041
Earnings per common share:
Basic		$1.82			$1.49			$1.01
Diluted		$1.82			$1.49			$1.00

Weighted average common stock equivalents, not included in common stock equivalents above because they were anti-dilutive, totaled 371 thousand, 758 thousand and 849 thousand for 2011, 2010 and 2009, respectively.