Note 5. EARNINGS (LOSS) PER SHARE

12 Months Ended

Dec. 31, 2013

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

Note 5. EARNINGS (LOSS) PER SHARE

The consolidated financial statements include basic and diluted earnings (loss) per share. Diluted per share information is calculated by considering the impact of potential common stock on the weighted average shares outstanding. Potential common stock consists of (a) incremental shares that would be available for issuance upon the assumed exercise of stock options “in the money” based on the average stock price for the respective period and (b) convertible preferred shares accounted for using the “if converted” basis, which assumes their conversion to common stock at a ratio of 16.6:1, pursuant to the terms of the Recapitalization, as defined and described in Note 7. The basic and diluted earnings per share (“EPS”) calculations are as follows:

	For the Years Ended December 31,
	2013			2012
	(Amounts in Thousands, except per share amounts)
Loss from continuing operations	$	(1,575	)	$	(5,373	)
Discontinued operations		73			(9,733	)
Net loss	$	(1,502	)	$	(15,106	)
Average common shares outstanding - Basic and Diluted		7,951			7,951
Per share amount - Basic and Diluted:
Loss from continuing operations	$	(0.20	)	$	(0.68	)
Discontinued operations		0.01			(1.22	)
Net loss	$	(0.19	)	$	(1.90	)

As of December 31, 2013, no options were in the money and 12,000 options were out of the money. As of December 31, 2012, no options were in-the-money and 18,000 options were out-of-the money.  At December 31, 2013 and 2012, 1,131,551 convertible preferred shares were outstanding, which are in total convertible into 18,859,183 shares of Katy common stock. Convertible preferred shares were not included in the calculation of diluted earnings (loss) per share for the year ended December 31, 2013 and December 31, 2012, respectively, because of their anti-dilutive impact as a result of the Company’s net loss position.