(Loss) Earnings Per Share

6 Months Ended

Jul. 28, 2012

(Loss) Earnings Per Share

NOTE 5. (Loss) Earnings Per Share

Basic earnings or loss per share is computed by dividing net income or net loss, respectively, by the weighted average number of common shares outstanding for the period.  Diluted earnings per share is applicable only in periods of net income and is computed by dividing net income by the weighted average number of common shares outstanding for the period and potentially dilutive common stock equivalents outstanding for the period.  Periods of net loss require the diluted computation to be the same as the basic computation.  As of the end of the second quarter of fiscal 2012 and 2011, options to purchase 3.2 million and 4.0 million shares, respectively, of potentially anti-dilutive common stock equivalents were outstanding.  For fiscal year-to-date 2012 and 2011, options to purchase 3.2 million and 4.2 million shares, respectively, of potentially anti-dilutive common stock equivalents were outstanding.

A reconciliation of the numerator and denominator of basic and diluted (loss) earnings per share is as follows (in thousands, except per share amounts):

	Three Months Ended						Six Months Ended
	July 28, 2012			July 30, 2011			July 28, 2012		July 30, 2011
Basic and diluted (loss) earnings per share computation:
Numerator	$	(768	)	$	(6,220	)	$	3,067	$	(13,881	)
Denominator:
Weighted average common shares outstanding		42,252			44,843			42,196		44,778
Incremental shares from assumed exercise/issuance of options and awards		-			-			719		-
Total shares		42,252			44,843			42,915		44,778
Basic (loss) earnings per share	$	(0.02	)	$	(0.14	)	$	0.07	$	(0.31	)
Diluted (loss) earnings per share	$	(0.02	)	$	(0.14	)	$	0.07	$	(0.31	)