Earnings Per Share

12 Months Ended

Dec. 31, 2020

Earnings Per Share [Abstract]

Earnings Per Share

Note 2: Earnings Per Share

Earnings per common share (“EPS”) is computed using the two-class method. Basic earnings per common share is computed by dividing net income available to common shareholders by the weighted-average number of common shares outstanding during the applicable period, excluding participating securities. Participating securities include non-vested restricted stock awards. Non-vested restricted stock awards are considered participating securities to the extent the holders of these securities receive non-forfeitable dividends at the same rate as holders of common shares. Diluted earnings per common share is computed using the weighted-average number of shares determined for the basic earnings per common share plus the convertible impact of preferred shares and the dilutive effect of stock compensation using the treasury stock method. EPS for the years ended December 31, 2020 and 2019 is computed as follows:

	Twelve Months Ended Dec. 31,
($ and outstanding shares in thousands - except per share data)	2020		2019
Distributed earnings allocated to common shares	$	3,070	$	2,331
Undistributed (in excess of) earnings allocated to common shares		11,858		8,675
Net earnings allocated to common shares		14,928		11,006
Net earnings allocated to participating securities		16		17
Dividends on convertible preferred shares		-		950
Net Income allocated to common shares and participating securities	$	14,944	$	11,973
Weighted average shares outstanding for basic earnings per share		7,613		6,456
Dilutive effect of stock compensation		22		46
Dilutive effect of convertible shares		-		1,433
Weighted average shares outstanding for diluted earnings per share		7,635		7,935
Basic earnings per common share	$	1.96	$	1.71
Diluted earnings per common share	$	1.96	$	1.51

There were no anti-dilutive shares in 2020 or 2019.