Earnings Per Share Data

9 Months Ended

Sep. 30, 2012

Earnings Per Share Data [Abstract]

Earnings Per Share Data

11. Earnings Per Share Data

Basic earnings per share (“EPS”) is calculated by dividing net income or loss applicable to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is calculated by using the weighted-average number of common shares outstanding during the period increased to include the number of additional shares of common stock that would have been outstanding if the dilutive potential shares of common stock had been issued. Dilutive potential shares of common stock include convertible preferred stock, options and warrants. The potential dilution for options and warranty is based on the average market price during the period. The average market price of the common stock was $0.1456 during the nine months ended September 30, 2012. For periods presented, the computation of diluted loss per share excludes the portion of convertible preferred stock, options and warrants that are anti-dilutive.

On May 4, 2011, the Series B Convertible Preferred Stock and Series C Convertible Preferred Stock were converted into common stock and the Series E Convertible Redeemable Preferred Stock was restructured under a Preferred Stock Exchange Agreement more fully described in Note 14.

The following table sets forth the computation of basic and diluted earnings per share:

	Three months ended September 30,						Nine months ended September 30,
	2011			2012			2011			2012
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
Loss from continuing operations	$	(776,815	)	$	(576,482	)	$	(1,356,812	)	$	(1,481,838	)
Preferred stock dividends		—			—			(282,444	)		—
Preferred stock redemption		5,586,666			—			5,586,666			—
Net income (loss) from continuing operations applicable to common stockholders	$	4,809,851		$	(576,482	)	$	3,947,410		$	(1,481,838	)
Net loss from discontinued operations		(139,279	)		—			(728,488	)		(81,594	)
Net income (loss) applicable to common stockholders - numerator for basic and diluted loss per share	$	(916,094	)	$	(576,482	)	$	3,218,922		$	(1,563,432	)
Weighted - average common shares and dilutive potential common shares outstanding - denominator for dilluted earning per share		55,699,005			62,359,372			48,120,853			62,041,779
Net income (loss) per common share (basic and diluted):
Continuing operations	$	(0.01	)	$	(0.01	)	$	0.08		$	(0.02	)
Discontinued operations	$	(0.00	)	$	—		$	(0.02	)	$	(0.00	)
Net income (loss)	$	(0.02	)	$	(0.01	)	$	0.07		$	(0.03	)
Anti-dilutive securities excluded from diluted earnings per share:
Stock options		6,161,460			4,617,335			5,327,273			4,530,335
Stock warrants		—			6,618,068			—			5,907,403
Convertible preferred stock - Series E		16,000,000			16,000,000			14,666,667			16,000,000