Exhibit 11
Statement of Computation of Per Share Earnings
We compute earnings per share using the two-class method in accordance with Accounting Standards Codification Topic No. 260, "Earnings Per Share." The two-class method is an allocation of earnings between the holders of common stock and a company's participating security holders. Our outstanding non-vested shares of restricted stock contain non-forfeitable rights to dividends and, therefore, are considered participating securities for purposes of computing earnings per share pursuant to the two-class method. We had no other participating securities at June 30, 2017 or 2016.
Contingently issuable shares associated with outstanding service-based restricted stock units were not included in the earnings per share calculations for the three-month and six-month periods ended June 30, 2017 and 2016 as the vesting conditions had not been satisfied.
The composition of basic and diluted earnings per share were as follows:
(Dollars in thousands, except per share amounts)
For the three months ended June 30, | For the six months ended June 30, | |||||||||||||||
2017 | 2016 | 2017 | 2016 | |||||||||||||
Numerator: | ||||||||||||||||
Net income | $ | 834 | $ | 14,224 | $ | 4,230 | $ | 24,793 | ||||||||
Less: distributed earnings allocated to non-vested stock | - | (10 | ) | - | (24 | ) | ||||||||||
Less: undistributed earnings allocated to non-vested restricted stock | (1 | ) | (42 | ) | (10 | ) | (96 | ) | ||||||||
Numerator for basic earnings per share | $ | 833 | $ | 14,172 | $ | 4,220 | $ | 24,673 | ||||||||
Effect of dilutive securities: | ||||||||||||||||
Add: undistributed earnings allocated to non-vested restricted stock | 1 | 42 | 10 | 96 | ||||||||||||
Less: undistributed earnings reallocated to non-vested restricted stock | (1 | ) | (42 | ) | (10 | ) | (96 | ) | ||||||||
Numerator for diluted earnings per share | $ | 833 | $ | 14,172 | $ | 4,220 | $ | 24,673 | ||||||||
Denominator: | ||||||||||||||||
Weighted average shares outstanding – basic | 43,665,171 | 43,527,857 | 43,641,038 | 43,501,599 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Stock options and other awards | 10,517 | 902 | 8,362 | 5,910 | ||||||||||||
Weighted average shares outstanding – diluted | 43,675,688 | 43,528,759 | 43,649,400 | 43,507,509 | ||||||||||||
Basic earnings per share | $ | 0.02 | $ | 0.33 | $ | 0.10 | $ | 0.57 | ||||||||
Diluted earnings per share | $ | 0.02 | $ | 0.33 | $ | 0.10 | $ | 0.57 | ||||||||