STATEMENT REGARDING COMPUTATION OF EARNINGS PER SHARE Three months December 31, 1998 1997 ---------- ----------- Net income $ 358,840 $ 350,792 Weighted average shares outstanding 1,746,315 1,688,131 Earnings per common share - Basic $ 0.21 $ 0.21 ========== ========== Assumed average shares for stock options 188,529 248,713 Assumed purchase of shares using treasury method for diluted earnings per share Stock Options at $6.49-6.40/average price 89,802 150,692 Additional number of shares assumed issued 98,727 98,021 Common and common equivalent shares outstanding for diluted earnings per share 1,845,042 1,786,152 Diluted earnings per common share $ 0.19 $ 0.20 ========== ==========