Net Loss per Common Share

9 Months Ended

Sep. 30, 2011

Notes to Financial Statements

Net Loss per Common Share

7. Net Loss per Common Share       

Basic net loss per common share is calculated by dividing the net loss by the weighted average number of common shares outstanding during the period. Diluted earnings per share is calculated using the weighted average number of common shares outstanding plus dilutive common stock equivalents outstanding during the period. Common stock equivalents are excluded for the three and nine month periods ended September 30, 2011 and 2010, since the effect is anti-dilutive due to the Company’s net losses. Common stock equivalents include stock options and warrants.

Basic weighted average common shares outstanding, and the potentially dilutive securities excluded from loss per share computations because they are anti-dilutive, are as follows for the nine month periods ended September 30, 2011 and 2010, respectively:

	Period Ended September 30,
	2011		2010
Basic and diluted weighted average common stock shares outstanding		69,679,854		69,679,854
Potentially dilutive securities excluded from loss per share computations:
Common stock options		17,723,227		14,564,815
Common stock purchase warrants		6,218,750		2,218,750