Annual report pursuant to Section 13 and 15(d)

EARNINGS PER SHARE

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EARNINGS PER SHARE
 12 Months Ended
Dec. 31, 2011
Earnings Per Share [Abstract]  
Earnings Per Share [Text Block]

NOTE 11 – EARNINGS PER SHARE

 

Basic earnings per share (“EPS”) excludes dilution and is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that shared in the earnings of the entity. Diluted EPS also utilizes the treasury stock method which prescribes a theoretical buy back of shares from the theoretical proceeds of all options and warrants outstanding during the period. Since there is a large number of options and warrants outstanding, fluctuations in the actual market price can have a variety of results for each period presented.

  

A reconciliation of the applicable numerators and denominators of the income statement periods presented is as follows (in thousands, except per share amounts):

 

    Year Ended December 31,  
    2011     2010     2009  
    Loss     Shares     EPS     Loss     Shares     EPS     Loss     Shares     EPS  
                                                       
Basic EPS   $ (2,710 )     14,817     $ (0.18 )   $ (3,501 )     14,285     $ (0.25 )   $ (3,842 )     12,963     $ (0.30 )
Dilutives:                                                                        
Options/Warrants     -       -       -       -       -       -       -       -       -  
                                                                         
Diluted EPS   $ (2,710 )     14,817     $ (0.18 )   $ (3,501 )     14,285     $ (0.25 )   $ (3,842 )     12,963     $ (0.30 )

 

For Fiscal 2011, 2010 and 2009, diluted earnings per share is the same as basic earnings per share due to the inclusion of common stock, in the form of stock options and warrants (“Common Stock Equivalents”), would have an anti-dilutive effect on the loss per share. For Fiscal 2011, 2010 and 2009, there were Common Stock Equivalents in the amount of 48,375, 359,188 and 133,792, respectively, which were in the money, that were excluded in the earnings per share computation due to their dilutive effect.