(in thousands, except per share amounts)

Three Months
Ended March 31,

2013

2012

Numerator:

Net Income (Loss)

$

(75)

$

1,396

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

(75)

1,396

Effect of dilutive securities:

6% Convertible Debenture Interest Expense

-

22

Numerator for diluted income per share -
income available to common shareholders after assumed conversions

$

(75)

$

1,418

Denominator:

Denominator for basic income per share - weighted-average shares

2,987

2,402

Effect of dilutive securities:

Employee stock options

-

36

Detachable warrants

-

454

6% Convertible Debenture

-

547

Dilutive potential common shares

-

1,037

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

2,987

3,439

Basic income (loss) per common share

$

(0.03)

$

0.58

Diluted income (loss) per common share

$

(0.03)

$

0.41