Computation of Earnings Per Share

6 Months Ended

Jun. 30, 2016

NOTE E – COMPUTATION OF EARNINGS PER SHARE

Basic earnings per share were computed by dividing Net income by the weighted-average number of common shares outstanding for each respective period. Diluted earnings per share were calculated by dividing Net income by the weighted-average of all potentially dilutive common stock that was outstanding during the periods presented.

The calculation of basic and diluted earnings per share for the three and six months ended June 30, 2016 and 2015 was as follows:


	Three Months Ended June 30				Six Months Ended June 30
	2016		2015		2016		2015
Numerator
Net income	$	2,755	$	3,680	$	5,413	$	3,424

Denominator
Determination of shares
Weighted-average common shares outstanding		5,186		5,392		5,198		5,394
Dilutive effect - share-based awards		22		1		20		2

Diluted weighted-average common shares outstanding		5,208		5,393		5,218		5,396

Earnings per common share
Basic	$	0.53	$	0.68	$	1.04	$	0.63

Diluted	$	0.53	$	0.68	$	1.04	$	0.63

For the three and six months ended June 30, 2016, 60,350 and 61,800 stock options, respectively, were excluded from the calculation of diluted earnings per share as the effect would have been anti-dilutive. For the three and six months ended June 30, 2015, 53,100 and 51,650 stock options, respectively, were excluded from the calculation of diluted loss per share as the effect would have been anti-dilutive.

For the three and six months ended June 30, 2016, there were no restricted share units excluded from the calculation of diluted earnings per share. For the three and six months ended June 30, 2015, 16,486 and 14,641 restricted share units, respectively, were excluded from the calculation of diluted earnings per share as the effect of the settlement in common shares would have been anti-dilutive.