Earnings Per Common Share (EPS)

9 Months Ended

Sep. 30, 2017

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 nine months ended September 30, 2017 and 2016.



	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2017	2016	2017	2016

Net income	$ 1,015,000	$ 1,055,000	$ 2,562,000	$ 2,993,000

Weighted average number of shares	4,378,436	4,378,436	4,378,436	4,378,436
Options effect of incremental shares	83	-	88	-

Weighted average diluted shares	4,378,519	4,378,436	4,378,524	4,378,436


Basic EPS (weighted avg shares)	$ 0.23	$ 0.24	$ 0.59	$ 0.68

Diluted EPS (Including Option Shares)	$ 0.23	$ 0.24	$ 0.59	$ 0.68

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		Nine Months Ended
	September 30,		September 30,
	2017	2016	2017	2016
Options excluded from calculating diluted EPS because their effect was anti-dilutive	-	636	-	636

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