Earnings Per Share

9 Months Ended

Sep. 30, 2011

10. Earnings Per Share

Basic earnings per share is computed on the basis of weighted average outstanding common shares. Diluted earnings per share is computed on the basis of basic weighted average outstanding common shares adjusted for the dilutive effect of stock options and other outstanding dilutive securities.

The following table reconciles the average share amounts used to compute both basic and diluted loss per share (in thousands):

		September 30,		September 30,		September 30,		September 30,
	Three Months Ended September 30,				Nine Months Ended September 30,
	2011		2010		2011		2010
Weighted average share outstanding:
Basic weighted average shares outstanding		33,495		33,244		33,420		33,670
Add: Dilutive effect of stock options, restricted stock awards and common stock warrants		810		236		762		237

Diluted weighted average shares outstanding		34,305		33,480		34,182		33,907

For the three and nine months ended September 30, 2011, 3.2 million options to purchase shares, restricted share awards, common stock warrants and contingently issuable shares were excluded from the diluted earnings per share computation as their effect would be anti-dilutive. For the three and nine months ended September 30, 2010, 5.5 million options to purchase shares, restricted share awards, common stock warrants and contingently issuable shares were excluded from the diluted earnings per share computation as their effect would be anti-dilutive.