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Earnings Per Share
 3 Months Ended
Mar. 31, 2017
Earnings Per Share [Abstract]  
Earnings Per Share
EARNINGS PER SHARE
Share-based payment awards that entitle holders to receive non-forfeitable dividends before vesting are considered participating securities that are included in the calculation of earnings per share using the two-class method. The two-class method is an earnings allocation formula under which earnings per share is calculated for common stock and participating securities according to dividends declared and participating rights in undistributed earnings. Under this method, all earnings, distributed and undistributed, are allocated to common shares and participating securities based on their respective rights to receive dividends.
The following table presents the calculation of basic and diluted earnings per share for the periods indicated.
 
Three Months Ended March 31,
(In thousands, except per share data)
2017
 
2016
Earnings per common share - basic:
 
 
 
Net income
$
50,473

 
$
42,769

Preferred stock dividends
(3,599
)
 
(2,576
)
Dividends and undistributed earnings allocated to unvested restricted shares
(346
)
 
(460
)
Net income allocated to common shareholders - basic
$
46,528

 
$
39,733

Weighted average common shares outstanding
46,123

 
40,711

Earnings per common share - basic
1.01

 
0.98

Earnings per common share - diluted:
 
 
 
Net income allocated to common shareholders - basic
$
46,528

 
$
39,733

Dividends and undistributed earnings allocated to unvested restricted shares
(37
)
 
(2
)
Net income allocated to common shareholders - diluted
$
46,491

 
$
39,731

Weighted average common shares outstanding
46,123

 
40,711

Dilutive potential common shares
373

 
54

Weighted average common shares outstanding - diluted
46,496

 
40,765

Earnings per common share - diluted
$
1.00

 
$
0.97


For the three months ended March 31, 2017, and 2016, the calculations for basic shares outstanding exclude the weighted average shares owned by the Recognition and Retention Plan (“RRP”) of 406,896 and 475,423, respectively.
The effects from the assumed exercises of 70,456 and 751,387 stock options were not included in the computation of diluted earnings per share for the three months ended March 31, 2017 and 2016, respectively, because such amounts would have had an antidilutive effect on earnings per common share.