Earnings per Common Share

12 Months Ended

Dec. 31, 2015

Note 14. Earnings per Common Share

Basic earnings per common share represents income available to common shareholders divided by the weighted-average number of common shares outstanding during the period. Diluted earnings per common share reflects additional common shares that would have been outstanding if dilutive potential common shares had been issued, as well as any adjustment to income that would result from the assumed issuance.

The following table presents the computation of basic and diluted earnings per share for the years ended December 31, 2015 and 2014 (dollars in thousands, except per share data):


	2015		2014
(Numerator):
Net income	$	2,655	$	7,631
Effective dividend and accretion on preferred stock		1,113		1,138

Net income available to common shareholders	$	1,542	$	6,493

(Denominator):
Weighted average shares outstanding – basic		4,910,608		4,902,389
Potentially dilutive common shares – restricted stock units		2,566		—

Weighted average shares outstanding – diluted		4,913,174		4,902,389

Income per common share
Basic	$	0.31	$	1.32
Diluted	$	0.31	$	1.32