1. Summary of Significant Accounting Policies (Policies)

9 Months Ended

Sep. 30, 2016

Summary Of Significant Accounting Policies Policies

Earnings per Share

Accounting guidance specifies the computation, presentation and disclosure requirements for earnings per share (“EPS”) for entities with publicly held common stock or potential common stock such as options, warrants, convertible securities or contingent stock agreements if those securities trade in a public market. Basic EPS is computed by dividing net income by the weighted average number of common shares outstanding.  Diluted EPS is similar to the computation of basic EPS except that the denominator is increased to include the number of additional common shares that would have been outstanding if the dilutive common shares had been issued.  The dilutive effect of conversion of preferred stock is reflected in the diluted earnings per share calculation.

Net income available to common stockholders represents consolidated net income adjusted for preferred dividends declared.

The following table provides a reconciliation of net income to net income available to common stockholders for the periods presented (in thousands):  

	For the Nine months ended		For the Quarter ended		For the Nine months ended		For the Quarter ended
In thousands of dollars	September 30, 2016		September 30, 2016		September 30, 2015		September 30, 2015
Earnings available to common stockholders:
Net income	$	7,204	$	2,666	$	6,352	$	2,229
Minority interest		154		64		115		39
Preferred stock dividends		383		128		383		128
Net income available to common stockholders	$	6,667	$	2,474	$	5,854	$	2,062

The following table shows the effect of dilutive preferred stock conversion on the Company's earnings per share for the periods indicated:

	Nine months ended September 30, 2016							Nine months ended September 30, 2015
	Income		Shares		Per Share Amounts			Income		Shares		Per Share Amounts
Basic EPS	$	6,666,742		3,286,165	$	2.03		$	5,853,624		3,292,709	$	1.78
Effect of Dilutive Securities:
Convertible Preferred Stock		382,500		444,400		(0.14	)		382,500		444,400		(0.08	)
Diluted EPS	$	7,049,242		3,730,565	$	1.89		$	6,236,124		3,737,109	$	1.67