Note 12: Net (Loss) Income Per Common Share

Basic net income (loss) per share attributable to common shareholders is computed by dividing net income (loss), excluding net income (loss) allocated to participating securities, by the weighted average number of shares outstanding less the weighted average of unvested restricted shares outstanding.

There were no dilutive effects from any equity instruments for periods presented which did not have net income, therefore diluted net income (loss) per share was the same as basic net income (loss) for periods presented which reflect a net loss.

The following table sets forth the computation of basic net income (loss) per share:

	Three Months			Three Months			Nine Months			Nine Months
	ended September 30,			ended September 30,			ended September 30,			ended September 30,
	2014			2013			2014			2013
Numerator for basic net (loss) income per share:
Net (loss) income	$	(1,299	)	$	(878	)	$	12,643		$	(7,178	)
Preferred deemed dividend		—			—			(9,455	)		—
Less: Net (loss) income attributed to participating securities		(9	)		(4	)		21			(36	)
Net (loss) income attributable to common shareholders, net of (loss) income attributable to participating securities	$	(1,290	)	$	(874	)	$	3,167		$	(7,142	)
Denominator for basic net (loss) income per share:
Weighted-average shares outstanding		202,343,245			201,514,133			202,163,250			201,276,741
Weighted-average unvested restricted shares outstanding		(1,343,764	)		(1,128,769	)		(1,336,982	)		(1,000,070	)
Denominator for basic net (loss) income per share:		200,999,481			200,385,364			200,826,268			200,276,671
Basic net (loss) income per share attributable to common shareholders	$	(0.01	)	$	(0.00	)	$	0.02		$	(0.04	)

Diluted net income (loss) per share is computed by dividing the net income (loss) for the period by the weighted average number of common and dilutive potential common shares outstanding during the period, if dilutive. Potentially dilutive common equivalent shares are composed of the incremental common shares issuable upon the exercise of warrants for common stock and the potential conversion of preferred shares to common shares.

The following are the computations of the dilutive effect, calculated to indicate the impact if we had net income, and the anti-dilutive common stock equivalents excluded from the computations for the periods presented.

	Three Months			Three Months			Nine Months			Nine Months
	ended September 30,			ended September 30,			ended September 30,			ended September 30,
	2014			2013			2014			2013
Numerator for diluted net (loss) income per share:
Net (loss) income	$	(1,299	)	$	(878	)	$	12,643		$	(7,178	)
Preferred deemed dividend		—			—			(9,455	)		—
Less: Net (loss) income attributed to participating securities		(9	)		(4	)		21			(36	)
Net (loss) income attributable to common shareholders, net of (loss) income attributable to participating securities	$	(1,290	)	$	(874	)	$	3,167		$	(7,142	)
Denominator for diluted net (loss) income per share:
Weighted-average shares outstanding		202,343,245			201,514,133			202,163,250			201,276,741
Weighted-average unvested restricted shares outstanding		(1,343,764	)		(1,128,769	)		(1,336,982	)		(1,000,070	)
Effect of dilutive potential shares *		—			—			37,045,988			—
Denominator for diluted net (loss) income per share:		200,999,481			200,385,364			237,872,256			200,276,671
Diluted net income (loss) per share attributable to common shareholders	$	(0.01	)	$	(0.00	)	$	0.01		$	(0.04	)

^*	There were no dilutive effects from any equity instruments for periods presented which did not have net income, therefore diluted net income (loss) per share was the same as basic net income (loss) for periods presented which reflect a net loss.