NOTE (2) – Earnings Per Share of Common Stock

Basic earnings per share of common stock is computed pursuant to the two-class method by dividing net income available to common stockholders less dividends paid on participating securities (unvested shares of restricted common stock) and any undistributed earnings attributable to participating securities by the weighted average common shares outstanding during the period. The weighted average common shares outstanding includes the weighted average number of shares of common stock outstanding less the weighted average number of unvested shares of restricted common stock. ESOP shares are considered outstanding for this calculation unless unearned. Diluted earnings per share of common stock includes the dilutive effect of unvested stock awards and additional potential common shares issuable under stock options.

The following table shows how the Company computed basic and diluted earnings (loss) per share of common stock for the periods indicated:


	For the three months ended June 30,				For the six months ended June 30,
	2020		2019		2020		2019
	(Dollars in thousands, except per share)

Net income (loss)	$	216	$	(135)	$	183	$	142
Less net income (loss) attributable to participating securities		2		(2)		2		2
Income (loss) available to common stockholders	$	214	$	(133)	$	181	$	140

Weighted average common shares outstanding for basic earnings (loss) per common share		27,143,340		26,858,018		27,055,750		26,711,043
Add: dilutive effects of unvested restricted stock awards		307,376		—		337,097		396,331
Weighted average common shares outstanding for diluted earnings (loss) per common share		27,450,716		26,858,018		27,392,847		27,107,374

Earnings (loss) per common share - basic	$	0.01	$	(0.01)	$	0.01	$	0.01
Earnings (loss) per common share - diluted	$	0.01	$	(0.01)	$	0.01	$	0.01

Stock options for 450,000 shares of common stock for the three and six months ended June 30, 2020 and stock options for 455,000 shares of common stock for the three and six months ended June 30, 2019 were not considered in computing diluted earnings per common share because they were anti-dilutive.