Earnings per Common Share

3 Months Ended

Mar. 31, 2015

Earnings Per Share [Abstract]

Earnings Per Common Share

Earnings per Common Share

The Company applies the two-class method of computing basic and diluted EPS. Under the two-class method, EPS is determined for each class of common stock and participating security according to dividends declared and participation rights in undistributed earnings. The Company issues restricted shares under share-based compensation plans and preferred shares which qualify as participating securities.

The following table sets forth the computation of basic and diluted earnings per share for the three months ended March 31, 2015 and 2014:

	Three Months Ended
	March 31,
	2015		2014
	(in thousands except per share)
Basic EPS:
Net income	$	24,361	$	19,844
Less: Earnings allocated to participating securities
Preferred shares	43		40
Nonvested restricted shares	225		169
Earnings allocated to common shareholders	$	24,093	$	19,635
Weighted average common shares outstanding	56,965		51,097
Basic earnings per common share	$	0.42	$	0.38
Diluted EPS:
Earnings allocated to common shareholders (1)	$	24,093	$	19,639
Weighted average common shares outstanding	56,965		51,097
Dilutive effect of equity awards	13		1,336
Weighted average diluted common shares outstanding	56,978		52,433
Diluted earnings per common share	$	0.42	$	0.37
Potentially dilutive share options that were not included in the computation of diluted EPS because to do so would be anti-dilutive	53		83

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(1) Earnings allocated to common shareholders for basic and diluted EPS may differ under the two-class method as a result of adding common stock equivalents for options and warrants to dilutive shares outstanding, which alters the ratio used to allocate earnings to common shareholders and participating securities for the purposes of calculating diluted EPS.