NOTE J – Earnings Per Share

We report our earnings per share using the two-class method. The income per share for each class of common stock is calculated assuming 100% of our earnings are distributed as dividends to each class of common stock based on their contractual rights.

The Common Stock of the Company has a preferential dividend rate of at least 105% of the dividend paid on the Class A Common Stock. The Class A Common Stock, which has ten votes per share as opposed to one vote per share for the Common Stock (on all matters other than the election of directors), may be converted at any time on a one-for-one basis into Common Stock at the option of the holder of the Class A Common Stock.

	Three Months Ended September 30,				Nine Months Ended September 30,
(dollars in thousands)	2018		2017		2018		2017
Numerator:
Common:
Distributed earnings	$	3,451	$	2,913	$	10,436	$	7,560
Undistributed earnings		4,230		2,586		8,777		9,122
Basic		7,681		5,499		19,213		16,682
Class A Common earnings		671		484		1,666		1,472
Diluted	$	8,352	$	5,983	$	20,879	$	18,154

Class A Common:
Distributed earnings	$	300	$	256	$	901	$	663
Undistributed earnings		371		228		765		809
	$	671	$	484	$	1,666	$	1,472
Denominator:
Common:
Weighted average shares outstanding - basic		19,138		19,421		19,288		19,365
Assumed conversion of Class A Common Stock		1,765		1,798		1,766		1,804
Dilutive options, awards and common stock equivalents		327		391		354		413

Total weighted-average diluted Common Stock		21,230		21,610		21,408		21,582

Class A Common:
Weighted average shares outstanding		1,765		1,798		1,766		1,804

Basic earnings per share:
Common Stock	$	0.40	$	0.28	$	1.00	$	0.86
Class A Common Stock	$	0.38	$	0.27	$	0.94	$	0.82

Diluted earnings per share:
Common Stock	$	0.39	$	0.28	$	0.98	$	0.84
Class A Common Stock	$	0.38	$	0.27	$	0.94	$	0.81