Exhibit 11.1 Statement regarding computation of earnings per share.
The Company computes earnings per share in accordance with FAS No. 128,
Earnings Per Share. For the three and nine month periods ended September 30,
1997, the Company was required to pay dividends on it's outstanding preferred
convertible stock. Such preferred stock was converted into common stock on June
30, 1997. The preferred dividend requirements for the periods in which the
preferred stock was outstanding have been added to the loss from continuing
operations to arrive at net loss available to common shareholders in
calculating basic earnings per share.
The Company has stock options and warrants outstanding which were not included
in the computation of diluted earnings per share for the nine month period
ended September 30, 1997 because to do so would have been anti-dilutive for
periods presented. Such options and warrants were included in the computation
of diluted earnings per share for the three and nine month periods ended
September 30, 1998 and the three month period ended September 30, 1997.
Weighted-average shares for the three months ended September 30, 1997 is
calculated as follows:
Dates Shares Fraction Weighted
Outstanding Outstanding of Period Average Shares
----------- ----------- --------- --------------
July 1-July 9 11,469,780 9/92 1,122,044
Exercise of stock warrant on July 10 25,000
---------------------
July 10 11,494,780 1/92 124,943
Issuance of common stock on July 11 1,733,000
---------------------
July 11-August 14 13,227,780 35/92 5,032,308
Issuance of common stock on August 15 1,544,509
---------------------
August 15-August 28 14,772,289 14/92 2,247,957
Issuance of common stock on August 29 4,166,666
---------------------
August 29-September 10 18,938,955 13/92 2,676,157
Issuance of common stock on September 11 79,856
---------------------
September 11-September 30 19,018,811 20/92 4,134,524
--------------------- ---------------------
Weighted average shares 15,337,933
=====================
Weighted-average shares for the nine months ended September 30, 1997 is
calculated as follows:
Dates Shares Fraction Weighted
Outstanding Outstanding of Period Average Shares
----------- ----------- --------- --------------
January 1-May 1, 1997 3,758,671 121/273 1,665,931
Issuance of common stock on May 2 3,387,187
---------------------
May 3-June 29 7,145,858 59/273 1,544,343
Conversion of preferred stock on June 30 4,323,922
---------------------
June 30-July 9 11,469,780 10/273 420,138
Exercise of stock warrant on July 10 25,000
---------------------
July 10 11,494,780 1/273 42,105
Issuance of common stock on July 11 1,733,000
---------------------
July 11-August 14 13,227,780 35/273 1,695,869
Issuance of common stock on August 15 1,544,509
---------------------
August 15-August 28 14,772,289 14/273 757,553
Issuance of common stock on August 29 4,166,666
---------------------
August 29-September 10 18,938,955 13/273 901,855
Issuance of common stock on September 11 79,856
---------------------
September 11-September 30 19,018,811 20/273 1,393,319
--------------------- ---------------------
Weighted average shares 8,421,113
=====================
Weighted-average shares for the three months ended September 30, 1998 is
calculated as follows:
Dates Shares Fraction Weighted
Outstanding Outstanding of Period Average Shares
----------- ----------- --------- --------------
July 1-July 5 22,870,603 5/92 1,242,968
Exercise of options on July 6 15,500
---------------------
July 6-July 12 22,886,103 7/92 1,741,334
Issuance of common stock on July 13 191,491
---------------------
July 13-July 22 23,077,594 10/92 2,508,434
Exercise of options on July 23 9,900
---------------------
July 23-August 4 23,087,494 13/92 3,262,363
Issuance of common stock on August 5 178,519
---------------------
August 5-August 10 23,266,013 6/92 1,517,349
Issuance of common stock on August 11 349,091
---------------------
August 11-September 30 23,615,104 51/92 13,090,982
--------------------- ---------------------
Weighted average shares 23,363,430
=====================
Weighted-average shares for the nine months ended September 30, 1998 is
calculated as follows:
Dates Shares Fraction Weighted
Outstanding Outstanding of Period Average Shares
----------- ----------- --------- --------------
January 1 - January 29 20,574,626 29/273 2,185,583
Issuance of common stock on January 30 365,957
---------------------
January 30 - April 2 20,940,583 63/273 4,832,442
Retirement of common stock on April 3 (20,833)
---------------------
April 3 - May 4 20,919,750 32/273 2,452,132
Issuance of common stock on May 5 1,072,165
---------------------
May 5 - June 16 21,991,915 43/273 3,463,928
Issuance of common stock on June 17 878,688
---------------------
June 17 - July 5 22,870,603 19/273 1,591,727
Exercise of options on July 6 15,500
---------------------
July 6-July 12 22,886,103 7/273 586,823
Issuance of common stock on July 13 191,491
---------------------
July 13-July 22 23,077,594 10/273 845,333
Exercise of options on July 23 9,900
---------------------
July 23-August 4 23,087,494 13/273 1,099,404
Issuance of common stock on August 5 178,519
---------------------
August 5-August 10 23,266,013 6/273 511,341
Issuance of common stock on August 11 349,091
---------------------
August 11-September 30 23,615,104 51/273 4,411,613
--------------------- ---------------------
Weighted average shares 21,980,326
=====================
Three months ended Nine months ended
September 30, September 30,
------------- -------------
1998 1997 1998 1997
---- ---- ---- ----
Weighted-average shares: 23,363,430 15,337,933 21,980,326 8,421,113
Plus: Incremental shares from
assumed conversions of warrants and 1,182,472 1,699,484 1,319,693 -----
options
-------------- -------------- -------------- --------------
Adjusted weighted average shares
24,545,902 17,037,417 23,300,019 8,421,113
============== ============== ============== ==============
Income for EPS Computation Three months ended Nine months ended
September 30, September 30,
------------- -------------
1998 1997 1998 1997
---- ---- ---- ----
Income (loss) from continuing operations $ 1,221,158 $ 12,158 $ 3,227,036 $ (255,908)
Preferred stock dividend requirement (385,000)
----- ----- -----
-------------- -------------- -------------- ---------------
Income (loss) available to common 1,221,158 12,158 3,227,036 (640,908)
shareholders
Loss from discontinued operations ----- ----- ----- (13,570,374)
-------------- -------------- -------------- ---------------
Net income (loss) available to common
shareholders $ 1,221,158 $ 12,158 $ 3,227,036 $ (14,211,282)
============== ============== ============== ===============
The basic EPS computation is as follows:
Three months ended Nine months ended
September 30, September 30,
------------- -------------
1998 1997 1998 1997
---- ---- ---- ----
Income (loss) per common share - basic:
Continuing operations $ 0.05 $ ----- $ 0.15 $ (0.08)
Loss from discontinued operations ----- ----- ----- (1.61)
-------------- -------------- -------------- --------------
Total $ 0.05 $ ----- $ 0.15 $ (1.69)
============== ============== ============== ==============
The diluted EPS computation is as follows:
Three months ended Nine months ended
September 30, September 30,
------------- -------------
1998 1997 1997 1997
---- ---- ---- ----
Income (loss) per common share - diluted:
Continuing operations $ 0.05 $ ----- $ 0.14 $ (0.08)
Loss from discontinued operations ----- ----- ----- (1.61)
-------------- -------------- -------------- --------------
Total $ 0.05 $ ----- $ 0.14 $ (1.69)
============== ============== ============== ==============
The equation for computing (basic and diluted) EPS is:
Income available to common stockholders
---------------------------------------------------
Weighted-average shares
TRANSIT GROUP, INC. AND SUBSIDIARIES
Exhibit 27 - Financial Data Schedule