Earnings Per Share

9 Months Ended

Sep. 30, 2011

15. Earnings Per Share

The following table sets forth the computation of basic and diluted loss per share (in thousands, except share and per share data):

	Three Months Ended September 30,						Nine Months Ended September 30,
	2011			2010			2011			2010
Numerator:

Net loss	$	(2,130	)	$	(4,906	)	$	(4,400	)	$	(16,608	)
Denominator:
Denominator for basic earnings per share-weighted-average shares		43,571,698			15,735,725			25,116,345			15,794,343
Dilutive effect of options and warrants		-			-			-			-
Denominator for diluted earnings per share- weighted-average shares		43,571,698			15,735,725			25,116,345			15,794,343
Basic and diluted loss per share	$	(0.05	)	$	(0.31	)	$	(0.18	)	$	(1.05	)

The effect of options and warrants for the periods in which we incurred a net loss has been excluded as it would be anti-dilutive. The options and warrants excluded totaled 488,402 and 11,412 for the three months ended September 30, 2011 and 2010, respectively, and 264,406 and 4,727 for the nine months ended September 30, 2011 and 2010, respectively. Additionally, the potential dilutive effect of the conversion option related to the convertible debenture note with Merlin of 6,666,667 shares has been excluded from the above earnings per share calculations as they would be anti-dilutive.