Note 6 - Earnings Per Share

9 Months Ended

Sep. 30, 2011

Earnings Per Share [Text Block]

 NOTE 6 – EARNINGS PER SHARE

The Company’s calculation of weighted average shares outstanding for the three and nine months ended September 30, 2011 and 2010 is set forth below:

	Three Months Ended,						Nine Months Ended,
	SEPTEMBER, 30			SEPTEMBER, 30			SEPTEMBER, 30			SEPTEMBER, 30
	2011			2010			2011			2010
Basic EPS:
Net income applicable to common shareholders - basic	$	892		$	106,081		$	17,405		$	142,977
Portion allocable to common shareholders		99.0	%		99.2	%		99.1	%		99.2	%
Net earnings allocable to common shareholders		883			105,232			17,248			141,833
Weighted average basic shares outstanding		31,766,753			31,766,753			31,766,753			31,766,753
Basic earnings per share	$	-		$	-		$	-		$	-
Dilutive EPS:
Net income applicable to common shareholders		883			105,232			17,248			141,833
Add: undistributed earnings allocated to participating securities		9			849			157			1,144
Numerator for diluted earnings per share		892			106,081			17,405			142,977
Weighted average shares outstanding - basic		31,766,753			31,766,753			31,766,753			31,766,753
Diluted effect:
Restricted Stock		67,935			-			22,894			-
Stock options		-			-			-			13,578
Conversion equivalent of dilutive Series B Convertible Preferred Stock		3,307,299			3,307,299			3,307,299			3,307,299
Conversion equivalent of dilutive Convertible Preferred Stock		255,000			255,000			255,000			255,000
Weighted average dilutive shares outstanding		35,396,987			35,329,052			35,351,946			35,342,630
Dilutive earnings per share	$	-		$	-		$	-		$	-

The table below sets forth the calculation of the percentage of net earnings allocable to common shareholders under the two-class method:

	Three Months Ended,						Nine Months Ended,
	SEPTEMBER, 30			SEPTEMBER, 30			SEPTEMBER, 30			SEPTEMBER, 30
	2011			2010			2011			2010
Numerator:
Weighted average participating common shares		31,766,753			31,766,753			31,766,753			31,766,753
Denominator:
Weighted average participating common shares		31,766,753			31,766,753			31,766,753			31,766,753
Add: Weighted average shares of Convertible Preferred Stock		255,000			255,000			255,000			255,000
Add: Weighted average shares of Restricted Stock		67,935			-			22,894			-
Weighted average participating shares		32,089,688			32,021,753			32,044,647			32,021,753
Portion allocable to common shareholders		99.0	%		99.2	%		99.1	%		99.2	%

Diluted net income per share for the periods presented do not reflect the following potential common shares, as the effect would be antidilutive:

	Three Months Ended,				Nine Months Ended,
	SEPTEMBER, 30		SEPTEMBER, 30		SEPTEMBER, 30		SEPTEMBER, 30
	2011		2010		2011		2010
Stock options		690,000		846,816		690,000		765,000
Restricted stock awards		250,000		-		-		-
Series B Convertible preferred stock		-		-		-		-
Convertible preferred stock		-		-		-		-
Total		940,000		846,816		690,000		765,000