1 EXHIBIT 11.1 COMPUTATION OF EARNINGS PER COMMON AND COMMON EQUIVALENT SHARE (IN THOUSANDS EXCEPT PER SHARE AMOUNTS) Quarter Ended Quarter Ended September 30, 1997 September 30, 1996 Fully Fully Primary Diluted Primary Diluted -------------------- ------------------- Net Earning (loss) $ (269) $ (269) $ 627 $ 627 ======== ======== ======== ======== Weighted average number of common shares outstanding 9,019 9,019 6,469 6,469 Excess of shares issuable upon exercise of stock options over shares deemed retired under the "treasury stock" method 1,079 1,235 856 983 -------- -------- -------- -------- Weighted average number of common and dilutive common equivalent shares outstanding 10,098 10,254 7,325 7,452 ======== ======== ======== ======== Earnings (loss) per common and common equivalent share $ (0.03) $ (0.03) $ 0.09 $ 0.08 ======== ======== ======== ========