Net Income (Loss) Per Common Share

9 Months Ended

Oct. 29, 2011

Net Income (Loss) Per Common Share [Abstract]

Net Income (Loss) Per Common Share

3. Net Income (Loss) Per Common Share

Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of common shares outstanding for the period. Diluted net income (loss) per common share reflects the potential dilution, using the treasury stock method, which could occur if stock options are exercised. Diluted net income (loss) per common share has been computed based on the weighted average number of shares outstanding, including the effect of outstanding stock options, if dilutive, in each of the thirteen and thirty-nine week periods set forth below. The difference between basic and diluted net income (loss) per share is solely attributable to stock options. A reconciliation of the weighted average shares for basic and diluted net income (loss) per common share is as follows:

	Thirteen Weeks Ended
(in thousands)	October 29, 2011		October 30, 2010
Weighted average shares outstanding:
Basic		15,815		15,551
Dilutive effect of stock options outstanding		—		—
Diluted		15,815		15,551

	Thirty-nine Weeks Ended
(in thousands)	October 29, 2011		October 30, 2010
Weighted average shares outstanding:
Basic		15,733		15,679
Dilutive effect of stock options outstanding		—		6
Diluted		15,733		15,685

For the thirteen week periods ended October 29, 2011 and October 30, 2010, options for approximately 28,000 and 23,000, respectively, of our shares were outstanding but were excluded from the computation of diluted weighted average shares outstanding because the options’ exercise price was greater than the average market price of the common shares and their effect would have been anti-dilutive. For the thirty-nine week periods ended October 29, 2011 and October 30, 2010, options for approximately 22,000 and 6,000, respectively, of our shares were outstanding but were excluded from the computation of diluted weighted average shares outstanding because the options’ exercise price was greater than the average market price of the common shares and their effect would have been anti-dilutive.

The Company’s unvested restricted shares are entitled to receive nonforfeitable dividends, and thus, are participating securities requiring the two class method of computing net income (loss) per share. The weighted average shares outstanding and net income (loss) per share for the thirteen and thirty-nine weeks ended October 29, 2011 and October 30, 2010 were computed using the two class method.