Loss Per Share

9 Months Ended

Sep. 30, 2016

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

Note 8 – Loss Per Share

The following table presents the calculation of loss per share for the three and nine months ended September 30, 2016 and 2015:

	Three months ended September 30				Nine months ended September 30
In thousands	2016		2015		2016		2015
Numerator:
Net income (loss), as reported	$	140	$	173	$	(895)	$	(1,090)
Accrued dividends on preferred shares		(50)		-		(149)		-
Net income (loss) attributable to common shares	$	90	$	173	$	(1,044)	$	(1,090)
Denominator:
Weighted average shares outstanding		1,711		1,673		1,711		1,673
Basic and diluted earnings (loss) per share	$	0.05	$	0.10	$	(0.61)	$	(0.65)

Basic loss per common share is computed by dividing net loss attributable to common shares by the weighted average number of common shares outstanding for the period.  Diluted loss per common share is computed by dividing net loss attributable to common shares, by the weighted average number of common shares outstanding, adjusted for shares that would be assumed outstanding after warrants and stock options vested under the treasury stock method.

On October 20, 2016, the Company declared a semi-annual dividend of $6.00 per share of Series B Preferred Stock aggregating $99,000, which was paid on October 24, 2016.  On April 15, 2016, the Company declared a semi-annual dividend of $4.72 per share of Series B Preferred Stock aggregating $78,000, which was paid on May 26, 2016.

At September 30, 2016, the Company accumulated unpaid dividends of $94,000 related to the Series B Preferred Stock issued in November 2015.  There were no accumulated unpaid dividends related to Series B Preferred Stock at September 30, 2015.

As of September 30, 2016, the Company had 52,000 warrants outstanding, none of which were used in the calculation of diluted earnings (loss) per share because their exercise price was greater than the average stock price for the period and their inclusion would have been anti-dilutive.  These warrants could be dilutive in the future if the average share price increases and is greater than the exercise price of these warrants.

As of September 30, 2016, the Company had 16,512 shares of Series B Preferred Stock outstanding, which were convertible into 330,240 shares of Common Stock, none of which were used in the calculation of diluted earnings (loss) per share because their purchase price was greater than the average stock price for the period and their inclusion would have been anti-dilutive.  These shares of Series B Preferred Stock could be dilutive in the future if the average share price increases and is greater than the purchase price of these shares of Series B Preferred Stock.