Earnings Per Share

12 Months Ended

Dec. 31, 2016

EARNINGS PER SHARE

Basic earnings per share is computed by dividing net income by the weighted average number of shares outstanding. Diluted earnings per share is computed by also considering the impact of potential common stock on both net income and the weighted average number of shares outstanding. Our potential common stock consists of employee and director stock options, restricted stock, restricted stock units and performance-based awards. Our potential common stock is excluded from the basic earnings per share calculation and is included in the diluted earnings per share calculation when doing so would not be anti-dilutive. Performance-based awards are included in the computation of diluted earnings per share only to the extent that the underlying performance conditions (and any applicable market condition) (i) are satisfied as of the end of the reporting period or (ii) would be considered satisfied if the end of the reporting period were the end of the related contingency period and the result would be dilutive under the treasury stock method. A reconciliation of the number of common shares used in the calculation of basic and diluted earnings per share (EPS) is presented below:



	Years Ended December 31,
	2016				2015			2014
	Shares		Per-Share Amount		Shares	Per-Share Amount		Shares	Per-Share Amount
Basic EPS	16,654,786		$	0.67	17,288,665	$	0.74	17,247,727	$	1.95
Effect of dilutive securities	26,924		—		100,808	—		168,726	(0.02		)
Diluted EPS	16,681,710	—	$	0.67	17,389,473	$	0.74	17,416,453	$	1.93
Securities excluded from the determination of weighted average shares for the calculation of diluted EPS, as they were potentially antidilutive	1,046,947				870,421			520,739