20. EARNINGS PER COMMON SHARE Basic earnings per common share is calculated based on the weighted average number of common shares outstanding during the period. Diluted earnings per share is calculated based on the treasury stock method, which assumes that any proceeds from in-the-money stock options are used to purchase our common shares at the average market price during the period.
The calculation of earnings per common share follows:
Numerator Common shareholders’ net income
Denominator Weighted average number of common shares outstanding - basic
Dilutive instruments: Stock options (1)
Weighted Average Number of Common Shares Outstanding - Diluted
Earnings Per Common Share Basic
(1) At October 31, 2022, the denominator excludes 1,103,697 (2021 – 580,865) employee stock options with an average exercise price of $35.14 (2021 – $33.06), adjusted for unrecognized stock-based compensation, that is greater than the average market price.
21. RELATED PARTY TRANSACTIONS
Transactions with and between subsidiary entities are made at normal market prices and eliminated on consolidation.
PREFERRED RATES AND TERMS We make loans, primarily residential mortgages, to our officers and employees at various preferred rates and terms. The total amount outstanding for these types of loans is $219,074 (October 31, 2021 – $170,961). We offer deposits, primarily fixed term deposits, to our officers and employees and their immediate family at preferred rates. The total amount outstanding for these deposits is $342,376 (October 31, 2021 – $325,201).
KEY MANAGEMENT PERSONNEL
Key management personnel are those that have authority and responsibility for planning, directing and controlling our activities and include our independent directors.
Compensation of key management personnel follows:
Salaries, benefits and directors' compensation
Share-based payments (stock options, RSUs, PSUs and DSUs) (1)
(1) Share-based payments are based on the estimated fair value on grant date .
Loans outstanding with key management personnel totaled $444 as at October 31, 2022 (October 31, 2021 – $235). No loans were outstanding with our independent directors as at October 31, 2022 and 2021.
102 | CWB Financial Group 2022 Annual Report
Powered by FlippingBook