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Stockholders' Equity and Restrictions
 6 Months Ended
Jun. 30, 2022
Earnings Per Share [Abstract]  
Stockholders' Equity Note Disclosure STOCKHOLDERS' EQUITY AND RESTRICTIONS
STOCK

Our Restated and Amended Articles of Incorporation authorize the issuance of 127,000,000 shares, of which 100,000,000 shares shall be Class A common stock, 2,000,000 shares shall be Class B common stock, and 25,000,000 shall be preferred stock. The two authorized classes of common stock are equal in all respects, except (a) each share of Class A common stock is entitled to receive twice the cash dividends paid on a per share basis to the Class B common stock, if any; and (b) the holders of the Class B common stock have the exclusive right to elect a simple majority of the board of Directors of Citizens. In April 2021, we repurchased all of the outstanding Class B common stock, which is now classified as treasury stock. As a result, all of the directors are elected by the holders of the Class A common stock. Citizens has never issued any preferred stock.

A summary of the change in gross number of shares of Class A and Class B common stock and treasury stock is as follows:
Six Months Ended June 30,
20222021
(In thousands)Common StockTreasuryCommon StockTreasury
Class AClass BStockClass AClass BStock
Balance at beginning of year53,170 1,002 4,138 52,654 1,002 3,136 
Stock issued under stock investment plan475 — — — — — 
Stock issued for compensation81 — — 112 — — 
Acquisition of Class A shares— — 392 — — — 
Acquisition of Class B shares— — — — — 1,002 
Other share issuance16 — — — — — 
Balance at end of period53,742 1,002 4,530 52,766 1,002 4,138 
EARNINGS PER SHARE

The following tables set forth the computation of basic and diluted earnings (loss) per share.

Three Months Ended June 30,20222021
(In thousands, except per share amounts)
Basic and diluted earnings (loss) per share:  
Numerator:  
Net income (loss)$(3,548)5,022 
Net income (loss) allocated to Class A common stock$(3,548)5,010 
Net income (loss) allocated to Class B common stock— 12 
Net income (loss)$(3,548)5,022 
Denominator:  
Weighted average shares of Class A outstanding - basic50,373 49,602 
Weighted average shares of Class A outstanding - diluted51,065 50,192 
Weighted average shares of Class B outstanding - basic and diluted— 250 
Basic and diluted earnings (loss) per share of Class A common stock$(0.07)0.10 
Basic and diluted earnings (loss) per share of Class B common stock— 0.05 

Six Months Ended June 30,20222021
(In thousands, except per share amounts)
Basic and diluted earnings (loss) per share:
Numerator:
Net income (loss)$(4,881)1,449 
Net income (loss) allocated to Class A common stock$(4,881)1,441 
Net income (loss) allocated to Class B common stock— 8 
Net income (loss)$(4,881)1,449 
Denominator:
Weighted average shares of Class A outstanding - basic50,278 49,578 
Weighted average shares of Class A outstanding - diluted50,970 50,145 
Weighted average shares of Class B outstanding - basic and diluted— 572 
Basic and diluted earnings (loss) per share of Class A common stock$(0.10)0.03 
Basic and diluted earnings (loss) per share of Class B common stock— 0.01 

CAPITAL AND SURPLUS

Each of our regulated insurance subsidiaries is required to meet stipulated regulatory capital requirements. These include capital requirements imposed by the U.S. National Association of Insurance Commissioners ("NAIC") and the Bermuda Monetary Authority ("BMA"). All insurance subsidiaries exceeded the minimum capital requirements at June 30, 2022.

In order to minimize the risk of a shortfall in capital arising from an unexpected adverse deviation or excess risk, the BMA has established a threshold capital level (termed the Target Capital Level ("TCL")), which is set at 120% of a
company’s enhanced capital requirement. The TCL serves as an early warning tool for the BMA. As of June 30, 2022, CICA International was above the TCL threshold. At the request of the BMA, on April 15, 2021, Citizens and CICA International entered into a Keep Well Agreement. The Keep Well Agreement requires Citizens to contribute up to $10 million in capital to CICA International as necessary to ensure that CICA International has a minimum capital level of 120% (equal to the TCL). Since CICA International’s capital level currently exceeds 120%, Citizens is not currently required to make a capital contribution.