Earnings Per Share

6 Months Ended

Jun. 30, 2011

Earnings Per Share

Earnings Per Share

Note 2. Earnings per Share

Financial Accounting Standards Board (FASB") Accounting Standards Codification ("ASC") 260, "Earnings per Share," requires that the Company present basic and diluted net income (loss) per common share. The assumed conversion of stock options creates the difference between basic and diluted net income per share. Income per share is calculated by dividing net income by the weighted average number of common shares outstanding for each period presented. The weighted average number of common shares outstanding for basic and diluted net loss per common share for the three month period ended June 30, 2011 and 2010 was 2,210,769 shares. Outstanding options were excluded from the loss per share calculation because they are anti-dilutive for the three-month periods ended June 30, 2011 and 2010. The weighted average number of common shares outstanding for basic and diluted net loss per common share for the six month period ended June 30, 2011 and 2010 was 2,210,769 shares. Outstanding options were excluded from the loss per share calculation because they are anti-dilutive for the six-month periods ended June 30, 2011 and 2010. The calculations of earnings per share for the quarter and six months ended June 30, 2010 include the effect of the 5% stock dividend declared on April 13, 2010 as if it had been declared on January 1, 2010.