Note 3 - Earnings/(Loss) Per Share

3 Months Ended

Mar. 31, 2016

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

NOTE 3: EARNINGS/(LOSS) PER SHARE

Basic earnings/(loss) per share were calculated using the weighted average number of shares outstanding of 141,080,292 and 91,643,746 for the three month periods ended March 31, 2016 and March 31, 2015, respectively.

The outstanding share balance as of March 31, 2016 and March 31, 2015, respectively, includes 1,703,343 and 2,506,681 restricted shares that have been issued but are still at risk of forfeiture as the restrictions have not lapsed.

Antidilutive shares of 42,892,652 and 83,357,382 have been omitted from the calculation of dilutive earnings/(loss) per share for the three month periods ended March 31, 2016 and March 31, 2015, respectively, as the shares were antidilutive. Provided below is the reconciliation between numerators and denominators of the basic and diluted earnings per shares. The table below provides a reconciliation of anti-dilutive securities outstanding as of March 31, 2016 and March 31, 2015, respectively.

Anti-dilutive security	March 31, 2016		March 31, 2015
Preferred stock		135,135		2,750,149
Employee stock options		2,002,500		3,222,500
Warrants		24,690,000		52,263,517
Convertible Notes		15,910,000		24,620,000
Shares issuable for accrued interest		155,017		501,216
Total		42,892,652		83,357,382

The employee stock options are exercisable at prices ranging from $0.045 to $0.30 per share. The exercise prices on the warrants range from $0.25 to $0.60 per share. Shares issuable upon conversion of Convertible Debentures or accrued interest have conversion prices ranging from $0.25 to $0.50 per share.

Some of the Company’s convertible debt and convertible preferred stock have an anti-dilutive effect on net income/(loss) per share and were not included in the computation of diluted earnings per share.

	For the three months ended
	March 31, 2016								March 31, 2015
	Income/(loss)			Shares		Per-share			Income/(loss)			Shares		Per-share
	numerator			denominator		amount			numerator			denominator		amount
Basic EPS	$	(878,830	)		141,080,292	$	(0.01	)	$	(2,806,044	)		91,643,746	$	(0.03	)
Effect of dilutive securities		-0-			-0-		-0-			-0-			-0-		-0-
Diluted EPS	$	(878,830	)		141,080,292	$	(0.01	)	$	(2,806,044	)		91,643,746	$	(0.03	)