Shares Used in Computing Earnings (Loss) per Share

6 Months Ended

Jul. 01, 2012

Shares Used in Computing Earnings (Loss) per Share

Note 9. Shares Used in Computing Earnings (Loss) per Share

Basic earnings (loss) per share are calculated using the weighted average number of common shares issued and outstanding for the applicable period. Diluted loss per share is computed using basic weighted average shares issued and outstanding plus the dilutive effect of unvested restricted stock and outstanding stock options using the “treasury stock” method.

	Three Months Ended				Six Months Ended
	July 1, 2012		July 3, 2011		July 1, 2012		July 3, 2011
Weighted average shares - basic		60,251,466		59,784,479		60,140,033		60,070,394
Dilutive effect of unvested restricted shares and stock options		—		—		—		—
Weighted average shares - diluted		60,251,466		59,784,479		60,140,033		60,070,394

Our employees and directors held options to purchase 3,950,272 and 3,844,272 shares of our common stock for the three and six months ended July 1, 2012, respectively, and 3,451,713 and 3,078,769 shares of our common stock for the three and six months ended July 3, 2011, respectively, that were not included in weighted average shares diluted calculation because they were anti-dilutive to the diluted loss per share computation. These options would become dilutive in future periods if the average market price of our common stock exceeds the exercise price of the outstanding options and we report net earnings.