Disclosure - Note 7 - Net income per share

9 Months Ended

Sep. 30, 2012

Income (loss) per common share

7. Net income (loss) per share

The following table sets forth the information needed to compute basic and diluted earnings per share:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2012			2011			2012			2011
Basic net income (loss)	$	(107,317	)	$	(929,169	)	$	20,982		$	(3,436,403	)
Preferred Stock Dividends		(6,277	)		(6,277	)		(18,831	)		(18,831	)
Numerator for diluted net income (loss) per share		(113,594	)		(935,446	)		2,151			(3,455,234	)
Weighted average common shares outstanding:		30,917,270			29,364,488			30,209,356			25,976,950
Dilutive securities
Preferred Stock A, B, C, D		0			0			41,588,524			0
Options		0			0			1,410,505			0
Warrants		0			0			0			0
Diluted weighted average common shares outstanding and assumed conversion		30,917,270			29,364,488			73,208,384			25,976,950
Basic net income (loss) per share	$	0.00		$	(0.03	)	$	0.00		$	(0.13	)
Diluted net income (loss) per share	$	0.00		$	(0.03	)	$	0.00		$	(0.13	)

For the three and nine month periods ended September 30, 2012 certain potential shares of common stock have been excluded from the calculation of diluted income per share because the exercise price was greater than the average market price of our common stock, and therefore, the effect on diluted income per share would have been anti-dilutive. The following table sets forth the number of potential shares of common stock that have been excluded from diluted net income per share because their effect was anti-dilutive.

	Three Months Ended September 30,		Nine Months Ended September 30,
	2012	2011	2012	2011
Warrant	5,378,233	0	5,378,233	0