EARNINGS PER SHARE

9 Months Ended

Aug. 31, 2013

EARNINGS PER SHARE

EARNINGS PER SHARE

NOTE 6– EARNINGS PER SHARE

Earnings per share are computed using weighted average common shares and dilutive common equivalent shares outstanding.  Potentially dilutive securities consist of outstanding options, restricted stock and unvested RSUs.  A reconciliation of the numerator and denominator of basic earnings per share and diluted earnings per share is as follows:

	Three months ended					Nine months ended
	(in thousands, except per share data)					(in thousands, except per share data)
	August 31, 2013			August 31, 2012		August 31, 2013			August 31, 2012
Basic earnings (loss) per share computation:
Numerator:
Net income (loss) and comprehensive (loss) income	$	(287	)	$	1,390	$	(5,502	)	$	3,602
Denominator:
Weighted average common shares outstanding	67,413			65,676		67,038			65,319
Income (loss) per common share - basic
Net (loss) income and comprehensive (loss) income	$	(0.00	)	$	0.02	$	(0.08	)	$	0.06
Diluted earnings (loss) per share computation:
Numerator:
Net income (loss) and comprehensive (loss) income	$	(287	)	$	1,390	$	(5,502	)	$	3,602
Denominator:
Weighted average common shares outstanding	67,413			65,676		67,038			65,319
Effect of dilutive securities:
Restricted shares, RSU’s and options	—			1,080		—			954
Dilutive potential common shares	67,413			66,756		67,038			66,273
Income (loss) per common share - dilutive
Net income (loss) and comprehensive (loss) income	$	(0.00	)	$	0.02	$	(0.08	)	$	0.05

For the three months ended August 31, 2013 and 2012, currently exercisable options, unvested restricted shares and unvested RSUs in the aggregate of 3,569,517 and 728,290, respectively, have been excluded from the calculation of the diluted loss per share as their effect would have been anti-dilutive.

For the nine months ended August 31, 2013, currently exercisable options, unvested restricted shares and unvested RSUs in the aggregate of 3,569,517 have been excluded from the calculation of the diluted loss per share as their effect would have been anti-dilutive.

For the nine months ended August 31, 2012, currently exercisable options, unvested restricted shares and unvested RSUs in the aggregate of 1,178,852 have been excluded from the calculation of the diluted loss per share as their effect would have been anti-dilutive.

Shares Reserved for Future Issuance

As of August 31, 2013, shares reserved for future issuance include (i) 775,000 shares of common stock issuable upon the exercise of stock options granted under the incentive plans; (ii) 1,839,719 shares of common stock issuable upon the vesting of RSUs; and (iii) an aggregate of 3,499,220 shares of common stock available for future issuance under the Amended and Restated 2004 Stock Incentive Plan.