1 EXHIBIT 11.1 CALCULATION OF EARNINGS PER SHARE FOR THE THREE MONTHS AND SIX MONTHS ENDED JUNE 30, 1996 - -------------------------------------------------------------------------------------------------------------------------- THREE MONTHS THREE MONTHS SIX MONTHS SIX MONTHS ENDED ENDED ENDED ENDED JUNE 30, 1996 JUNE 30, 1995 JUNE 30, 1996 JUNE 30, 1995 - -------------------------------------------------------------------------------------------------------------------------- Net income . . . . . . . . . . . . . . . . . . . . . $1,611,917 $ 738,606 $2,569,666 $1,488,571 ========== ========== ========== ========== Common and common equivalent shares: Weighted average number of common shares outstanding during the period . . . . . . . . . . . . . . 5,445,610 3,361,008 5,444,708 3,356,908 Common shares issuable upon conversion of convertible preferred stock Primary . . . . . . . . . . . . . . . -- 951,721 951,721 Fully diluted . . . . . . . . . . . . -- 951,721 951,721 Common shares issuable upon exercise of outstanding stock options Primary . . . . . . . . . . . . . . . 495,957 235,271 458,815 239,371 Fully diluted . . . . . . . . . . . . 495,957 235,271 493,595 239,371 Common and common equivalent shares outstanding during the period Primary . . . . . . . . . . . . . . . 5,941,567 4,548,000 5,903,523 4,548,000 ========== ========== ========== ========== Fully diluted . . . . . . . . . . . . 5,941,567 4,548,000 5,938,303 4,548,000 ========== ========== ========== ========== Earnings per share data Net income per common and common equivalent shares Primary . . . . . . . . . . . . . . . $ 0.27 $ 0.16 $ 0.44 $ 0.33 Fully diluted . . . . . . . . . . . . $ 0.27 $ 0.16 $ 0.43 $ 0.33