Note 3. Net Income Per Share

9 Months Ended

Sep. 30, 2011

Earnings Per Share [Text Block]

Note 3.  Net Income Per Share

Basic income per share is based on the weighted-average number of shares of the Company’s common stock outstanding during the applicable period, and is calculated by dividing the reported net income for the applicable period by the weighted-average number of shares of common stock outstanding during the applicable period.  The Company calculates diluted income per share by dividing the reported net income for the applicable period by the weighted-average number of shares of common stock outstanding during the applicable period as adjusted to give effect to the exercise of all potentially dilutive securities outstanding at the end of the period.

For the three months ended September 30, 2011, all potentially dilutive securities were excluded because their exercise price was less than the average market price of the Company’s common stock during that period.