Earnings Per Share

6 Months Ended

Jun. 30, 2015

Note 6.

Earnings Per Share

Basic earnings per share is computed by dividing income available to common shareholders by the weighted average number of common shares outstanding for the period, excluding shares issuable upon the exercise of certain contracts to issue common stock, such as in-the-money stock options. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity (such as the Company's dilutive stock options and restricted stock units).

The following is a reconciliation of basic and diluted earnings per share for the periods presented in the consolidated statements of income.

Three months ended June 30,	2015		2014
(in thousands, except per share data)
Basic EPS:
Weighted average common shares outstanding		44,007		43,865
Net income		19,281		27,640
Basic EPS	$	0.44	$	0.63

Diluted EPS:
Weighted average common shares outstanding		44,007		43,865
Dilutive effect of common stock options and restricted stock		523		498
Weighted average common shares and common share equivalents		44,530		44,363
Net income		19,281		27,640
Diluted EPS	$	0.43	$	0.62

Six months ended June 30,	2015		2014
(in thousands, except per share data)
Basic EPS:
Weighted average common shares outstanding		44,079		43,829
Net income		37,447		45,649
Basic EPS	$	0.85	$	1.04

Diluted EPS:
Weighted average common shares outstanding		44,079		43,829
Dilutive effect of common stock options and restricted stock		510		500
Weighted average common shares and common share equivalents		44,589		44,329
Net income		37,447		45,649
Diluted EPS	$	0.84	$	1.03

There were 339,109 stock options for the quarter ended June 30, 2015 and 503,058 stock options for the quarter ended June 30, 2014 that were not considered in the calculation of diluted earnings per share since the stock options' exercise price was greater than the average market price during these periods.

There were 340,034 stock options for the six months ended June 30, 2015 and 500,541 stock options for the six months ended June 30, 2014 that were not considered in the calculation of diluted earnings per share since the stock options' exercise price was greater than the average market price during these periods.