Earnings Per Common Share (EPS)

6 Months Ended

Jun. 30, 2016

Earnings Per Common Share (EPS) [Abstract]

Note 3 – Earnings Per Common Share (EPS)

Currently, only the option shares granted to certain officers and other employees of Financial pursuant to the Amended and Restated Stock Option Plan of 1999 Financial (the “1999 Plan”) are considered in calculating diluted earnings per share. The following is a summary of the earnings per share calculation for the three and six months ended June 30, 2016 and 2015.

Note 3 – Earnings Per Share (continued)



	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2016	2015	2016	2015

Net income	$ 1,051,000	$ 957,000	$ 1,938,000	$ 1,884,000

Basic EPS weighted average shares outstanding	4,378,436	3,371,616	4,378,436	3,371,616
Incremental shares attributable to stock options	-	-	-	-

Diluted EPS weighted average shares outstanding	4,378,436	3,371,616	4,378,436	3,371,616


Basic earnings per common share	$ 0.24	$ 0.28	$ 0.44	$ 0.56

Diluted earnings per common share	$ 0.24	$ 0.28	$ 0.44	$ 0.56

The following table sets forth the option shares that were not included in calculating the diluted earnings because their effect was anti-dilutive:


	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2016	2015	2016	2015
Options excluded from calculating diluted EPS because their effect was anti-dilutive	636	66,576	636	66,576

The foregoing shares were anti-dilutive because the exercise price of the options was greater than the market price on June 30, 2016 and 2015.