2. EARNINGS PER SHARE

Financial Accounting Standards Board Accounting Standards Codification (“FASB ASC”) No. 260‑10‑45 addresses whether instruments granted in share-based payment transactions are participating securities prior to vesting and, therefore, need to be included in the earnings allocation in computing earnings per share (“EPS”). The restricted stock awards and certain restricted stock units granted by the Company contain non-forfeitable rights to dividends and therefore are considered participating securities. The two-class method for calculating basic EPS excludes dividends paid to participating securities and any undistributed earnings attributable to participating securities.

The following table presents the computation of EPS for the three and nine months ended September 30, 2018 and 2017:


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(In thousands, except per share data)	2018		2017		2018		2017
Net income	$	6,547	$	9,443	$	25,363	$	27,455
Dividends paid on and earnings allocated to participating securities		(145)		(197)		(550)		(557)
Income attributable to common stock	$	6,402	$	9,246	$	24,813	$	26,898

Weighted average common shares outstanding, including participating securities		19,890		19,793		19,869		19,748
Weighted average participating securities		(438)		(412)		(435)		(405)
Weighted average common shares outstanding		19,452		19,381		19,434		19,343
Basic earnings per common share	$	0.33	$	0.48	$	1.28	$	1.39

Income attributable to common stock	$	6,402	$	9,246	$	24,813	$	26,898
Impact of assumed conversions - interest on 8.5% trust preferred securities		—		—		—		32
Income attributable to common stock including assumed conversions	$	6,402	$	9,246	$	24,813	$	26,930

Weighted average common shares outstanding		19,452		19,381		19,434		19,343
Incremental shares from assumed conversions of options and restricted stock units		33		25		27		21
Incremental shares from assumed conversions of 8.5% trust preferred securities		—		—		—		23
Weighted average common and equivalent shares outstanding		19,485		19,406		19,461		19,387
Diluted earnings per common share	$	0.33	$	0.48	$	1.28	$	1.39

There were 47,393 stock options outstanding at September 30, 2018 that were not included in the computation of diluted earnings per share for the three and nine months ended September 30, 2018 because the options' exercise prices were greater than the average market price of common stock and were, therefore, antidilutive. There were no stock options outstanding at September 30, 2017.

There were no restricted stock units that were antidilutive for the three months ended September 30, 2018 and 2017. There were 21,980 restricted stock units that were antidilutive for the nine months ended September 30, 2018 and no restricted stock units that were antidilutive for the nine months ended September 30, 2017.

The $15.7 million in trust preferred securities outstanding at December 31, 2016 were redeemed effective January 18, 2017 and therefore were not included in the computation of diluted earnings per share for the three months ended September 30, 2017, but were dilutive for the nine months ended September 30, 2017 and therefore were included in the computation of diluted earnings per share for that period.