Basic and diluted earnings per share are calculated as follows (in thousands, except per share amounts):

	Three Months Ended
		June 30,
	2014		2013

	(unaudited)
Net income	$	3,575	$	1,979
Weighted average shares - basic		31,379		30,948
Weighted average shares - diluted		32,075		31,635
Net income per share - basic	$	0.11	$	0.06
Net income per share - diluted	$	0.11	$	0.06

Diluted weighted average shares includes approximately 696,000 and 687,000 common equivalent shares from stock options for the three months ended June 30, 2014 and 2013.

Basic net income available per common share is computed using net income and the weighted average number of common shares outstanding during the period. Diluted net income per common share is computed using net income and the weighted average number of common shares outstanding, assuming dilution, which includes potentially dilutive common shares outstanding during the period. Potentially dilutive common shares include the assumed exercise of stock options and assumed vesting of restricted stock units using the treasury stock method. During the three months ended June 30, 2014 and 2013, there were outstanding weighted average options to purchase 2,630,332 and 2,657,320 shares, respectively, that were not included in the computation of diluted net income per share since the exercise prices of the options exceeded the market price of the common stock. These options could dilute earnings per share in future periods if the market price of the common stock increases.