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Net Income (Loss) Per Share
12 Months Ended
Dec. 31, 2012
Net Income (Loss) Per Share [Abstract]  
Net Income (Loss) Per Share

NOTE 7 – NET INCOME (LOSS) PER SHARE

Basic net income (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the period.  Net income per diluted share is computed by dividing net income by the weighted average number of common and common equivalent shares outstanding during the period. Common equivalent shares consist of common shares to be issued upon exercise of stock options, restricted stock units and from participation in our employee stock purchase plan, as calculated using the treasury stock method.  All potentially dilutive common equivalent shares are excluded from the calculation of net loss per diluted share due to their anti-dilutive effect.  As a result, no common equivalent shares were included in the calculation of net loss per diluted share for the year ended December 31, 2012. The components of net income (loss) per basic and diluted share are as follows:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(In thousands except per share amounts)

 

Net Loss

 

Weighted Average Shares Outstanding

 

Per Share Amount

Year Ended December 31, 2012:

 

 

 

 

 

 

 

 

Basic

 

$

(6,711)

 

 

6,946 

$

(0.97)

Dilutive effect of common equivalent shares

 

 

 

 

 

Dilutive

 

$

(6,711)

 

 

6,946 

$

(0.97)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(In thousands except per share amounts)

 

Net Income

 

Weighted Average Shares Outstanding

 

Per Share Amount

Year Ended December 31, 2011:

 

 

 

 

 

 

 

 

Basic

 

$

4,357 

 

 

6,906 

$

0.63 

Dilutive effect of common equivalent shares

 

 

 

 

46 

 

Dilutive

 

$

4,357 

 

 

6,952 

$

0.63 

 

The calculation of diluted net income (loss) per common share excludes 592,000 potentially dilutive shares for the year ended December 31, 2012 and 381,000 potentially dilutive shares for the year ended December 31, 2011, because their effect would be anti-dilutive.