(in thousands, except per share amounts)

Year Ended December 31,

2012

2011

2010

Numerator:

Net Income (Loss)

$

5,028

$

3,836

$

2,288

Preferred stock dividends

-

(16)

(60)

Numerator for basic earnings per share
- income (loss) available to common shareholders

5,028

3,820

2,228

Effect of dilutive securities:

22

103

90

Numerator for diluted earnings per share - income (loss)
available to common shareholders after assumed conversions

$

5,050

$

3,923

$

2,318

Denominator:

Denominator for basic earnings per share
- weighted-average shares

2,781

2,079

1,904

Effect of dilutive securities

Employee stock options

30

35

13

Warrants

447

533

302

6% Convertible Debentures

136

551

566

Preferred stock

-

37

-

Dilutive potential common shares

613

1,119

881

Denominator for diluted earnings per share -
weighted-average shares and assumed conversions

3,394

3,235

2,785

Basic earnings per common share:

Net Income (Loss)

$

1.81

$

1.84

$

1.17

Diluted earnings per common share:

Net Income (Loss)

$

1.49

$

1.21

$

0.83