Earnings Per Share

6 Months Ended

Jun. 30, 2015

Basic earnings per share (EPS), which excludes dilution, is computed by dividing income available to common shareholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock, such as stock options, stock appreciation rights settled in stock or restricted stock awards, result in the issuance of common stock which shares in the earnings of the Company. A reconciliation of the numerators and denominators of the basic and diluted EPS computations is as follows:



Basic Earnings Per Share	For the Three Months Ended June 30,				For the Six Months Ended June 30,
(In thousands, except share and per share amounts)	2015		2014		2015		2014
Net income available to common shareholders	$	3,078	$	2,693	$	5,544	$	5,309
Weighted average shares outstanding	10,924,437		10,918,065		10,924,015		10,917,010
Basic earnings per share	$	0.28	$	0.25	$	0.51	$	0.49



Diluted Earnings Per Share	For the Three Months Ended June 30,				For the Six Months Ended June 30,
(In thousands, except share and per share amounts)	2015		2014		2015		2014
Net income available to common shareholders	$	3,078	$	2,693	$	5,544	$	5,309
Weighted average shares outstanding	10,924,437		10,918,065		10,924,015		10,917,010
Effect of dilutive stock options	85,479		81,598		82,036		79,562
Weighted average shares of common stock and common stock equivalents	11,009,916		10,999,663		11,006,051		10,996,572
Diluted earnings per share	$	0.28	$	0.24	$	0.50	$	0.48

During the six month periods ended June 30, 2015 and 2014, options to purchase 145,523 and 122,640 shares of common stock, respectively, were not factored into the calculation of dilutive stock options because they were anti-dilutive. During the three month periods ended June 30, 2015 and 2014, options to purchase 113,735 shares of common stock, were not factored into the calculation of dilutive stock options because they were anti-dilutive.