Exhibit 11
COMPUTATION OF EARNINGS PER COMMON SHARE
(unaudited)
THREE MONTHS NINE MONTHS
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9/30/96 9/30/95 9/30/96 9/30/95
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PRIMARY
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Net earnings applicable to common stock:
Net earnings (loss) $454,261 $219,122 $913,002 $1,140,614
Deduct preferred stock dividends paid (31,830) (31,830) (95,490) (95,490)
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Net earnings (loss) applicable to common stock $422,431 $187,292 $817,512 $1,045,124
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Weighted average number of common shares and
common equivalents outstanding:
Weighted average common shares outstanding 4,036,619 3,181,204 3,509,115 3,139,109
Additional shares assuming conversion of options
and warrants 407,153 589,497 482,175 426,845
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Weighted average number of common shares and
common equivalents outstanding 4,443,772 3,770,701 3,991,290 3,565,954
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PRIMARY EARNINGS PER SHARE $ 0.10 $ 0.05 $ 0.21 $ 0.30
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FULLY DILUTED*
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Net earnings applicable to common stock
on a fully diluted basis:
Net earnings applicable to common stock per above $422,431 $187,292 $817,512 $1,045,124
Add net interest expense related to convertible
debentures 76,464 23,100 15,464 69,300
Add dividends on convertible preferred stock 31,830 31,830 95,490 63,660
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Net earnings applicable to common stock on a fully
diluted basis $ 530,725 $ 242,222 $ 928,466 $ 1,178,084
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Total shares for fully diluted:
Shares used in calculating primary earnings
per share 4,443,772 3,770,701 3,991,290 3,565,954
Additional shares to be issued under full
dilution using ending market price -- -- -- 30,061
Addition shares to be issued under full
conversion of convertible debentures 931,111 600,000 703,704 577,778
Additional shares to be issued under full
conversion of preferred stock 294,723 294,723 294,723 294,723
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Total shares for fully diluted 5,669,606 4,665,424 4,989,717 4,468,516
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FULLY DILUTED EARNINGS PER SHARE $ 0.09 $ 0.05 $ 0.19 $ 0.26
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* This calculation is submitted in accordance with Securities Exchange Act of
1934 Release No. 9083 although not required by footnote 8 paragraph 40 of APB
No. 15 because it results in anti-dilution.