EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2014

EARNINGS PER SHARE

EARNINGS PER SHARE

NOTE 17.   EARNINGS PER SHARE

Earnings per share.Earnings per share (“EPS”) have been computed pursuant to the provisions of ASC 260 “Earnings Per Share”. The computation of basic EPS is calculated by dividing income available to common shareholders by the weighted-average number of common shares outstanding during the period. Shares issued during the period shall be weighted for the portion of the period that they were outstanding.

Prior to July 9, 2014, TCI had 30,000 shares of Series C cumulative convertible preferred stock issued and outstanding.  These 30,000 shares were owned by RAI, a related party, and had accrued dividends unpaid of $0.9 million.  The stock had a liquidation preference of $100.00 per share and could be converted into common stock at 90% of the daily average closing price of the common stock for the prior five trading days.  On July 9, 2014, RAI converted all 30,000 shares into the requisite number of shares of common stock.  The conversion resulted in the issuance of 304,298 new shares of common stock.  The effects of the Series C Cumulative Convertible Preferred Stock are no longer included in the dilutive earnings per share calculation for the current period, but are considered in the calculation for the prior periods if applying the if-converted method is dilutive.

As of December 31, 2014, there were 5,000 shares of stock options outstanding.  These options are considered in the computation of diluted earnings per share if the effect of applying the treasury stock method is dilutive.   These options expired unexercised January 1, 2015.

As of December 31, 2014, the preferred stock and the stock options were anti-dilutive and therefore not included in the EPS calculation.