Calculation of Basic and Diluted Earnings per Share (Tables)

9 Months Ended

Sep. 30, 2014

Earnings per common share:

Schedule of Computation of Basic and Diluted Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share:

(in thousands, except per share amounts)		Three Months Ended September 30,				Nine Months Ended September 30,
		2014		2013		2014		2013
Numerator:
Net Income	$	296	$	113	$	1,156	$	188
Numerator for basic earnings per share - income available to common shareholders		296		113		1,156		188
Effect of dilutive securities:
Numerator for diluted earnings per share - income available to common shareholders after assumed conversions	$	296	$	113	$	1,156	$	188
Denominator:
Denominator for basic earnings per share - weighted-average shares		3,014		3,012		3,014		2,999
Effect of dilutive securities:
Employee stock options		4		8		1		2
Warrants		376		402		388		270
Dilutive potential common shares		380		410		389		272
Denominator for diluted earnings per share - weighted-average shares and assumed conversions		3,394		3,422		3,403		3,271
Basic earnings per common share	$	0.10	$	0.04	$	0.38	$	0.06
Diluted earnings per common share	$	0.09	$	0.03	$	0.34	$	0.06