BASIC AND DILUTED EARNINGS PER SHARE

3 Months Ended

Mar. 31, 2012

BASIC AND DILUTED EARNINGS PER SHARE [Text Block]

12. BASIC AND DILUTED EARNINGS (LOSS) PER SHARE

Basic earnings (loss) per common share is computed by dividing net earnings (loss) by the weighted average number of basic common shares outstanding during the period. Diluted earnings (loss) per share are calculated based on the weighted average number of basic common shares outstanding adjusted for the dilutive effect, if any, of stock options, warrants and other dilutive securities outstanding. Outstanding options, warrants and other dilutive securities to purchase 61,693,885 and 59,676,683 shares of common stock for the three months ended March 31, 2012 and 2011, respectively, are not included in the computation of diluted earnings per share as the effect of the assumed exercise of these options and warrants, and other dilutive securities would be anti-dilutive.

Components of basic and diluted earnings per share were as follows:

		Three Months Ended March 31,
		2012			2011
		(unaudited)			(unaudited)
Net loss available for common stock holders	$	(2,507,888	)	$	(2,277,380	)
Weighted average basic outstanding shares of common stock		114,320,260			113,310,388
Dilutive effect of warrants and stock options		–			–
Weighted average diluted outstanding shares of common stock		114,320,260			113,310,388
Earnings (loss) per share:
Basic	$	( 0.02	)	$	( 0.02	)
Diluted	$	( 0.02	)	$	( 0.02	)