EARNINGS (LOSS) PER SHARE

6 Months Ended

Jun. 30, 2011

EARNINGS (LOSS) PER SHARE

EARNINGS (LOSS) PER SHARE

NOTE D—EARNINGS (LOSS) PER SHARE

Basic earnings (loss) per share is computed by dividing net earnings (loss) applicable to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted earnings (loss) per share is based on the assumption that stock options and warrants are converted into common shares using the treasury stock method and convertible bonds and preferred stock are converted using the if-converted method. Conversion is not assumed if the results are anti-dilutive.  Potential common shares for the six months ended June 30, 2011 and June 30, 2010 of 52,522 and 52,522 respectively, relating to convertible bonds and preferred stock, were excluded from the computation of diluted earnings (loss) per share because they are anti-dilutive. Potential common shares of 1,533,045 and 2,632,102 respectively, relating to stock options and restricted stock were excluded from the computation of diluted earnings (loss) per share for the six months ended June 30, 2011 and 2010, respectively, because they are anti-dilutive. Stock options have a weighted average exercise price of $4.00 and $4.70 at June 30, 2011 and June 31, 2010, respectively. At June 30, 2011, the convertible bonds may be converted from the date of issuance until maturity at 100% of principal amount into common stock of the Company at a price of $35 to $50.  The preferred stock may be converted at the discretion of the holder or upon meeting certain conditions at the discretion of the Company (see Note C).

Basic and diluted net earnings (loss) per share are computed based on the following information:

	Three Months Ended		Three Months Ended		Six Months Ended		Six Months Ended
	June 30, 2011		June 30, 2010		June 30, 2011		June 30, 2010
	(in thousands, except for per				(in thousands, except for per
	share data)				share data)
Net earnings available to common shareholders	$	9,027	$	8,560	$	8,449	$	15,735
Weighted average shares outstanding - basic	70,815,871		70,364,154		70,779,033		70,224,672
Effect of dilutive securities – stock options	1,225,817		1,104,469		1,328,023		1,068,706
Effect of dilutive securities – preferred stock	—		—		—		—
Weighted average shares outstanding - diluted	72,041,688		71,468,623		72,107,056		71,293,378
Basic net earnings per share	$	0.13	$	0.12	$	0.12	$	0.22
Diluted net earnings per share	$	0.13	$	0.12	$	0.12	$	0.22