Note 11 – Earnings Per Share

The earnings per share – both basic and diluted – are included below as of March 31:


	Three Months Ended March 31,
	2019		2018
Basic earnings per share:
Weighted-average common shares outstanding		29,845,653		29,659,454
Net income	$	8,468	$	9,489
Basic earnings per share	$	0.28	$	0.32

Diluted earnings per share:
Weighted-average common shares outstanding		29,845,653		29,659,454
Dilutive effect of unvested restricted awards		497,978		472,936
Dilutive effect of stock options and warrants		-		36,358
Diluted average common shares outstanding		30,343,631		30,168,748
Net Income	$	8,468	$	9,489
Diluted earnings per share	$	0.28	$	0.31

The above 2018 earnings per share calculation also includes a warrant for 815,339 shares of common stock, at an exercise price of $13.43 per share, that was outstanding as of March 31, 2018, and is considered dilutive. The ten-year warrant was issued in 2009, and was sold at auction by the U.S. Treasury in June 2013 to a third party investor. This warrant was not included as a dilutive factor as of March 31, 2019, due to its cashless exercise on January 16, 2019. As of the date of exercise, the Company’s closing market stock price was $14.23 per share, resulting in 45,836 shares being issued. The cashless warrant exercise resulted in a net $313,000 reduction to treasury stock as these shares were issued from stock held by the Company.