Basic earnings per share was determined by dividing net income allocable to common stockholders for each period by the weighted average number of shares of common stock outstanding during the applicable period. Net income is also allocated to the unvested restricted stock outstanding during each period, as the restricted stock is entitled to receive dividends and is therefore considered a participating security. As of September 30, 2019, the shares of common stock underlying the restricted stock units (the “RSUs”) awarded under the 2019 and 2016 Incentive Plans (see Note 13) are excluded from the basic earnings per share calculation, as these units are not participating securities.

Diluted earnings per share reflects the potential dilution that could occur if securities or other rights exercisable for, or convertible into, common stock were exercised or converted or otherwise resulted in the issuance of common stock that shared in the earnings of the Company.

The following table identifies the number of shares of common stock underlying the RSUs that are included in determining the diluted weighted average number of shares of common stock:

(a)

The RSUs awarded in 2017, 2018 and 2019 vest, subject to satisfaction of the applicable market and/or performance conditions, on June 30, 2020, 2021 and 2022, respectively (see Note 13).

(b)

Reflects the number of shares underlying RSUs that would be issued assuming the measurement date used to determine whether the applicable conditions are satisfied is September 30, 2019.

(c)

Reflects the number of shares underlying RSUs that would be issued assuming the measurement date used to determine whether the applicable conditions are satisfied is September 30, 2018.

(d)

None of the remaining 22,186 shares and 4,601 shares are included at September 30, 2019 and 2018, respectively, as the applicable condition had not been met for these shares at the respective measurement dates.

(e)

None of the remaining 53,929 shares and 45,321 shares are included at September 30, 2019 and 2018, respectively, as the applicable conditions had not been met for these shares at the respective measurement date.

(f)

None of the remaining 62,608 shares are included at September 30, 2019, as the applicable conditions had not been met for these shares at the measurement date.

Note 4 – Earnings Per Common Share (Continued)

The following table provides a reconciliation of the numerator and denominator of earnings per share calculations (amounts in thousands, except per share amounts):


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2019		2018		2019		2018
Numerator for basic and diluted earnings per share:
Net income	$	5,097	$	10,182	$	13,666	$	21,381
Add/deduct net loss (income) attributable to non-controlling interests		21		(35)		(465)		(866)
Less earnings allocated to unvested restricted stock (a)		(303)		(342)		(924)		(879)
Net income available for common stockholders: basic and diluted	$	4,815	$	9,805	$	12,277	$	19,636

Denominator for basic earnings per share:
Weighted average number of common shares		19,191		18,646		19,037		18,521
Effect of diluted securities:
RSUs		48		59		39		41
Denominator for diluted earnings per share:
Weighted average number of shares		19,239		18,705		19,076		18,562

Earnings per common share, basic	$	.25	$	.53	$	.64	$	1.06
Earnings per common share, diluted	$	.25	$	.52	$	.64	$	1.06

Represents an allocation of distributed earnings to unvested restricted stock that, as participating securities, are entitled to receive dividends.