INCOME (LOSS) PER COMMON SHARE

6 Months Ended

Jun. 30, 2022

INCOME (LOSS) PER COMMON SHARE

INCOME (LOSS) PER COMMON SHARE

11. INCOME (LOSS) PER COMMON SHARE

Basic net income (loss) per share attributable to common stockholders, amounts are computed by dividing the net income (loss) plus preferred stock dividends and deemed dividends on preferred stock by the weighted average number of shares outstanding during the year.

Diluted net income (loss) per share attributable to common stockholders amounts are computed by dividing the net income (loss) plus preferred stock dividends, deemed dividends on preferred stock, after-tax interest on convertible debt and convertible dividends by the weighted average number of shares outstanding during the year, plus Series C, Series D, Series E, Series F and Series F-2 convertible preferred stock, Series G preferred stock, convertible debt, convertible preferred dividends and warrants convertible into common stock shares.

The following table sets forth pertinent data relating to the computation of basic and diluted net loss per share attributable to common shareholders (in thousands, except for per-share data):

	June 30,
	2022			2021
Net loss		(2,061	)		(1,871	)
Basic weighted average number of shares outstanding		23,526			13,226
Net loss per share (basic)		(0.09	)		(0.14	)
Diluted weighted average number of shares outstanding		23,526			13,226
Net loss per share (diluted)		(0.09	)		(0.14	)
Dilutive equity instruments (number of equivalent units):
Stock options		960			-
Preferred stock		12,151			18,316
Convertible debt		2,431			1,281
Warrants		12,702			17,869
Total Dilutive instruments		28,244			37,466

For period of net loss, basic and diluted earnings per share are the same as the assumed exercise of warrants and the conversion of convertible debt are anti-dilutive.

Troubled Debt Restructurings - 2022

During the six months ended June 30, 2022, two of the Company’s creditors forgave $74,785 of debt. The reductions in the outstanding balances met the criteria for troubled debt. The basic criteria are that the borrower is troubled, i.e., they are having financial difficulties, and a concession is granted by the creditor. As of June 30, 2022, the troubled debt restructurings in total would have decreased the net loss by $74,785, with no impact to net loss per share.

Troubled Debt Restructurings - 2021

As provided in the preceding footnotes, several transactions met the basic criteria for troubled debt, which are that the borrower is troubled, i.e., they are having financial difficulties, and a concession is granted by the creditor. Due to the Company being in default on several of its loans the debt is considered troubled debt. As of June 30, 2021, the total troubled debt restructuring was $179,000; since this amount has already been recorded as a loss on extinguishment of debt, the loss would not have any impact on the per share calculation.