Earnings per Common Share

9 Months Ended

Sep. 30, 2016

Note 3. Earnings per Common Share

Basic earnings per common share (“EPS”) is computed by dividing income available to common stockholders by the weighted average number of common shares outstanding. Diluted EPS includes any additional common shares as if all potentially dilutive common shares were issued (e.g., stock options). The Company’s weighted average common shares outstanding for diluted EPS include the effect of stock options and restricted stock awards outstanding using the Treasury Stock Method, which are not included in the calculation of basic EPS.

Earnings per common share have been computed as follows:

	Three Months Ended					Nine Months Ended
	September 30,					September 30,
(in thousands, except per share amounts)	2016		2015			2016			2015
Net income	$	11,856	$	10,842		$	33,106		$	31,743
Preferred stock dividends		-		(28	)		(22	)		(84	)
Net income available to common stockholders	$	11,856	$	10,814		$	33,084		$	31,659
Basic weighted average common shares outstanding		30,125		30,046			30,100			29,786
Effect of dilutive options (1)		276		290			276			537
Diluted weighted average common shares outstanding (2)		30,401		30,336			30,376			30,323
Earnings per common share:
Basic	$	0.39	$	0.36		$	1.10		$	1.06
Diluted		0.39		0.36			1.09			1.04

(1)	Represents incremental shares computed using the treasury stock method.
(2)	Anti-dilutive shares are not included in determining diluted earnings per share. There were no anti-dilutive shares in the three and nine months ended September 30, 2016.