2. EARNINGS PER SHARE

9 Months Ended

Sep. 28, 2012

Notes to Financial Statements

Note 3 - EARNINGS PER SHARE

Basic earnings per share is calculated by dividing net income or loss available to common stockholders by the weighted average number of common shares outstanding, and does not include the impact of any potentially dilutive common stock equivalents. Diluted earnings per share reflect the potential dilution of securities that could share in our earnings through the conversion of common shares issuable via outstanding stock options and stock warrants, except where their inclusion would be anti-dilutive.  Total outstanding common stock equivalents at September 28, 2012 and September 30, 2011 were 13,506,303 and 13,577,053, respectively.