Earnings Per Common Share

6 Months Ended

Jun. 30, 2019

Earnings Per Common Share [Abstract]

NOTE 17 – EARNINGS PER COMMON SHARE

The calculation of earnings per common share for the quarters and six-month periods ended June 30, 2019 and 2018 is as follows:

	Quarter Ended June 30,				Six-Month Period Ended June 30,
	2019		2018		2019		2018
	(In thousands, except per share data)
Net income	$	23,979	$	19,649	$	47,449	$	36,566
Less: Dividends on preferred stock
Non-convertible preferred stock (Series A, B, and D)		(1,628)		(1,628)		(3,256)		(3,255)
Convertible preferred stock (Series C)		-		(1,837)		-		(3,675)
Income available to common shareholders	$	22,351	$	16,184	$	44,193	$	29,636
Effect of assumed conversion of the convertible preferred stock		-		1,837		-		3,675
Income available to common shareholders assuming conversion	$	22,351	$	18,021	$	44,193	$	33,311

Weighted average common shares and share equivalents:
Average common shares outstanding		51,330		43,975		51,317		43,965
Effect of dilutive securities:
Average potential common shares-options		350		113		335		54
Average potential common shares-assuming conversion of convertible preferred stock		-		7,138		-		7,138
Total weighted average common shares outstanding and equivalents		51,680		51,226		51,652		51,157
Earnings per common share - basic	$	0.44	$	0.36	$	0.86	$	0.67
Earnings per common share - diluted	$	0.43	$	0.35	$	0.86	$	0.65

During the last quarter of 2018, Oriental converted all of its 84,000 outstanding shares of Series C Preferred Stock into common stock. Each Series C Preferred Stock share was converted into 86.4225 shares of common stock. In computing diluted earnings per common share during the first nine months of 2018, the 84,000 shares of Series C Preferred Stock that remained outstanding, 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 quarter and six-month period ended June 30, 2018 on the convertible preferred stock were added back as income available to common shareholders.

For the quarter ended June 30, 2019, Oriental did not have weighted-average stock options with an anti-dilutive effect on earnings per share. For the quarter ended June 30, 2018, weighted-average stock options with an anti-dilutive effect on earnings per share not included in the calculation amounted to 433,493. For the six-month periods ended June 30, 2019 and 2018, weighted-average stock options with an anti-dilutive effect on earnings per share not included in the calculation amounted to 47,420 and 442,221, respectively.