| Components of Basic and Diluted Net Income per Common Share |
The components of basic and diluted net income per common share available to common stockholders for the years ended December 31, 2012, 2011 and 2010 were as follows: | | | | | | | | | | | | | | | | 2012 | | 2011 | | 2010 | Basic Net Income per Common Share | | | | | | | Available to Common Stockholders: | | | | | | | Net income | | $ | 14,025,000 |
| | $ | 11,372,000 |
| | $ | 8,761,000 |
| Preferred stock dividends | | (4,252,000 | ) | | (3,576,000 | ) | | (2,240,000 | ) | Net income available to common stockholders | | $ | 9,773,000 |
| | $ | 7,796,000 |
| | $ | 6,521,000 |
| Weighted average common shares outstanding | | 6,023,289 | | 6,042,015 | | 6,092,670 | Basic earnings per common share | | $ | 1.62 |
| | $ | 1.29 |
| | $ | 1.07 |
| Diluted Net Income per Common Share | | | | | | | Available to Common Stockholders: | | | | | | | Net income available to common stockholders | | $ | 9,773,000 |
| | $ | 7,796,000 |
| | $ | 6,521,000 |
| Effect of assumed preferred stock conversion | | — |
| | — |
| | — |
| Net income applicable to diluted earnings per share | | $ | 9,773,000 |
| | $ | 7,796,000 |
| | $ | 6,521,000 |
| Weighted average common shares outstanding | | 6,023,289 |
| | 6,042,015 |
| | 6,092,670 |
| Dilutive potential common shares: | | | | | | | Assumed conversion of stock options | | 4,473 |
| | 10,515 |
| | 24,057 |
| Restricted stock awarded | | 116 |
| | 1,741 |
| | — |
| Assumed conversion of preferred stock | | — |
| | — |
| | — |
| Dilutive potential common shares | | 4,589 |
| | 12,256 |
| | 24,057 |
| Diluted weighted average common shares outstanding | | 6,027,878 |
| | 6,054,271 |
| | 6,116,727 |
| Diluted earnings per common share | | $ | 1.62 |
| | $ | 1.29 |
| | $ | 1.07 |
|
|
| Anti-dilutive Securities |
The following shares were not considered in computing diluted earnings per share for the years ended December 31, 2012, 2011 and 2010 because they were anti-dilutive: | | | | | | | | | | | | | 2012 | | 2011 | | 2010 | Stock options to purchase shares of common stock | | 108,125 |
| | 202,970 |
| | 202,970 |
| Average dilutive potential common shares associated with convertible preferred stock | | 2,290,110 |
| | 1,998,652 |
| | 1,122,833 |
|
|