Basic and Diluted Shares

6 Months Ended

Jun. 30, 2012

Basic and Diluted Shares [Abstract]

BASIC AND DILUTED SHARES

5. BASIC AND DILUTED SHARES

The Company applies the two-class method of computing basic and diluted EPS. Under the two-class method, EPS is determined for each class of common stock and participating security according to participation rights in undistributed earnings. The Company grants restricted stock under a share-based compensation plan that qualify as participating securities. For periods when the Company incurs losses, the participating securities are not included in the EPS calculation.

For the six months ended June 30, 2012 and 2011, all outstanding stock options and all non-vested restricted shares/units were anti-dilutive and, therefore, were not included in the computations of diluted income per share amounts for continuing operations.

For the three months ended June 30, 2012, the effect of dilutive securities-options, restricted stock and restricted stock units outstanding increased diluted shares by 872,962.

At June 30, 2012, the Company had 205,125 stock options and an aggregate of 2,357,968 shares of restricted stock and restricted stock units outstanding.