Earnings Per Share

12 Months Ended

Dec. 31, 2012

Notes

Earnings Per Share

Earnings Per Share

The Company utilizes the guidance per FASB Codification “ASC 260 "Earnings Per Share". Basic earnings per share is calculated on the weighted effect of all common shares issued and outstanding, and is calculated by dividing net income available to common stockholders by the weighted average shares outstanding during the period. Diluted earnings per share, which is calculated by dividing net income available to common stockholders by the weighted average number of common shares used in the basic earnings per share calculation, plus the number of common shares that would be issued assuming conversion of all potentially dilutive securities outstanding, is not presented separately as it is anti-dilutive. Such securities, shown below, presented on a common share equivalent basis and outstanding as of December 31, 2012 and 2011 have been excluded from the per share computations as their effect would be anti-dilutive:

	For the Years Ended December 31,
	2012		2011
2004 Stock Plan Options		-		-
Non ISO Stock Options		20,267,815		31,504,900
Convertible Preferred Stock		51,444,780		51,444,780
Convertible Bridge Notes and Notes Payable		53,480,601		26,436,060
Warrants		33,336,581		104,767,316