Note 16. Earnings Per Share

Basic earnings (loss) per common share (“EPS”) are generally calculated as income (loss) available to common shareholders divided by the weighted average number of common shares outstanding. Diluted EPS is generally calculated as income (loss) available to common shareholders divided by the weighted average number of common shares outstanding plus the dilutive effect of common share equivalents.

The calculation of basic and diluted EPS for the years ended October 31, 2012, 2011 and 2010 was as follows:



	2012			2011			2010
Numerator
Net loss	$	(35,906	)	$	(45,974	)	$	(56,326	)
Net loss attributable to noncontrolling interest	411			261			663
Adjustment for modification of redeemable preferred stock of subsidiary	—			(8,987		)	—
Preferred stock dividend	(3,201		)	(3,200		)	(3,201		)
Net loss to common shareholders	$	(38,696	)	$	(57,900	)	$	(58,864	)
Denominator
Weighted average basic common shares	165,471,261			124,498,073			93,925,863
Effect of dilutive securities (1)	—			—			—
Weighted average diluted common shares	165,471,261			124,498,073			93,925,863
Basic loss per share	(0.23		)	(0.47		)	(0.63		)
Diluted loss per share (1)	(0.23		)	(0.47		)	(0.63		)

(1)

Due to the net loss to common shareholders in each of the years presented above, diluted earnings per share was computed without consideration to potentially dilutive instruments as their inclusion would have been antidilutive. Potentially dilutive instruments include stock options, warrants and convertible preferred stock. At October 31, 2012, 2011 and 2010, there were options to purchase 3.1 million, 3.3 million and 5.1 million shares of common stock, respectively. On January 13, 2011 we issued 10.2 million warrants in connection with a registered direct offering. Each warrant was exercisable for 1 share of common stock. The warrants had an exercise price of $2.29 per share and were exercisable beginning six months and one day after the initial closing date and expired in the fourth quarter of 2012.