Earnings Per Common Share

3 Months Ended

Mar. 31, 2017

NOTE 17 – EARNINGS PER COMMON SHARE

The calculation of earnings per common share for the quarters ended March 31, 2017 and 2016 is as follows:

	Quarter Ended March 31,
	2017		2016
	(In thousands, except per share data)
Net income	$	15,150	$	14,171
Less: Dividends on preferred stock
Non-convertible preferred stock (Series A, B, and D)		(1,627)		(1,627)
Convertible preferred stock (Series C)		(1,838)		(1,838)
Income available to common shareholders	$	11,685	$	10,706
Effect of assumed conversion of the convertible ' ' preferred stock		1,838		1,838
Income available to common shareholders assuming conversion	$	13,523	$	12,544

Weighted average common shares and share equivalents:
Average common shares outstanding		43,916		43,898
Effect of dilutive securities:
Average potential common shares-options		77		28
Average potential common shares-assuming ' ' conversion of convertible preferred stock		7,138		7,138
Total weighted average common shares ' 'outstanding and equivalents		51,131		51,064
Earnings per common share - basic	$	0.27	$	0.24
Earnings per common share - diluted	$	0.26	$	0.24

In computing diluted earnings per common share, the 84,000 shares of convertible preferred stock, which remain outstanding at March 31, 2017, with a conversion rate, subject to certain conditions, of 86.4225 shares of common stock per share, were included as average potential common shares from the date they were issued and outstanding. Moreover, in computing diluted earnings per common share, the dividends declared during the quarters ended March 31, 2017 and 2016 on the convertible preferred stock were added back as income available to common shareholders.

For the quarters ended March 31, 2017 and 2016, weighted-average stock options with an anti-dilutive effect on earnings per share not included in the calculation amounted to 507,786 and 977,823, respectively.