E. EARNINGS PER COMMON SHARE

9 Months Ended

Sep. 30, 2014

Earnings Per Share [Abstract]

E. EARNINGS PER COMMON SHARE

Earnings per common share are computed by dividing earnings available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Potential common stock equivalents are determined using the “if converted” method.

Potentially dilutive securities for the computation of diluted weighted average shares outstanding are as follows:

	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2014	2013	2014	2013
Series A Preferred Stock	11,662,749	13,719,925	13,411,550	12,708,122
Series B Preferred Stock	5,997,333	7,359,805	7,037,394	7,224,242
Restricted Stock Awards	2,443,318	1,958,475	2,227,892	1,145,094
Restricted Stock Units	101,104	121,931	109,086	82,550
	20,204,504	23,160,136	22,785,922	21,160,008

The Series A and Series B Preferred Stock was converted to common stock on September 10, 2014, 71 days into the total 92 days for the three month period ended September 30, 2014. This shorter period accounts for the decrease in weighted average number of shares in the three months ended September 20, 2014 compared to the same period in 2013.

The Company excludes preferred stock and stock-based awards whose effect would be anti-dilutive from the calculation. For the three month period ended September 30, 2014 and the nine month periods ended September 30, 2014 and 2013, adjusted earnings were losses, therefore common stock equivalents were excluded from the calculation of diluted net loss per share of common stock, as their effect was anti-dilutive.