EXHIBIT 11.1 COMPUTATION OF NET LOSS PER SHARE Year Ended ---------------------------- December 31, December 31, 1996 1995 (a) ------------ ------------ Net Loss ($2,334,000) ($634,000) Weighted average number of shares used in computation: Common Stock 25,444,000 10,013,000 Preferred Stock - 7,738,000 Number of common shares issued in accordance with Staff Accounting Bulletin No. 83 - 4,790,000 ----------- ----------- Total 25,444,000 22,541,000 ----------- ----------- ----------- ----------- Net loss per common and common equivalent share ($0.09) ($0.03) ----------- ----------- ----------- ----------- (a) includes the Company's results from March 5, 1995 (inception) through December 31, 1995