1 EXHIBIT 11 SCHEDULE OF COMPUTATION OF BASIC EARNINGS/(LOSS) PER SHARE FOR YEARS ENDED June 30, 1998 June 30, 1997 June 30, 1996 ------------- ------------- ------------- Net Loss $(5,464,059) $(2,143,159) $(2,961,039) Less Preferred stock dividends (7,610) (30,441) -------------- ------------- ------------- Subtotal $(5,464,059) $(2,150,769) $(2,991,480) Number of common shares outstanding at beginning of the year 7,367,720 6,754,606 4,473,661 Weighted average number of common shares issued as follows: Conversion of preferred stock to common stock 102,797 Issuance of common stock pursuant to a private placement 804,056 Dissolution of subsidiary Employee Stock Ownership Plan 63,700 Common stocks warrants exercised 266,841 155,618 Acquisition of DJS Subsidiary 45,902 Common stock options exercised 10,551 6,152 Conversion of debt to common stock 2,213 ------------- ------------- ------------- Weighted average number of common shares outstanding at the end of the year 7,380,484 7,194,096 5,479,237 Net loss per common share (0.74) (0.30) (0.55) 56