Qumu (QUMU) 10-Q 2005 Q3 Quarterly report

Exhibit 11.1

RIMAGE CORPORATION
COMPUTATION OF NET INCOME PER SHARE OF COMMON STOCK

Basic net income per common share is determined by dividing net income by the weighted average number of shares of common stock outstanding. Diluted net income per common share is determined by dividing net income by the weighted average number of shares of common stock and common share equivalents outstanding, unless the result is anti-dilutive. A total of 192 assumed conversion shares for the nine months ended September 30, 2005, and 2,969 and 10,827 assumed conversion shares for the three and nine months ended September 30, 2004, respectively, were excluded from the net loss per share computation as their effect is anti-dilutive. The following is a summary of the weighted average common shares outstanding and assumed conversion shares:

	Three months ended September 30,				Nine months ended September 30,
	2005		2004		2005		2004
Shares outstanding at end of period		9,579,873		9,354,645		9,579,873		9,354,645
Weighted average shares of common stock outstanding		9,553,208		9,339,208		9,506,540		9,265,451
Weighted average shares of assumed conversion shares		826,727		580,363		743,012		645,553
Weighted average shares of common stock and assumed conversion shares		10,379,935		9,919,571		10,249,552		9,911,003
Net income	$	4,085,031	$	2,110,359	$	9,063,837	$	5,973,154
Basic net income per common share	$	0.43	$	0.23	$	0.95	$	0.64
Diluted net income per common share	$	0.39	$	0.21	$	0.88	$	0.60