SMT
EPS Calculation- Modified Treasury Stock Meth
Six Months Ended June 30, 1997
( Before Extraordinary Item)
Exercise Assumed Tax Total
Assumptions Shares Price Proceeds Benefit Proceeds
Net income before extraordinary item $1,640,470
Common Shares Outstanding 5,080,500
20% of Common Shares Outstan 1,016,100
Common Stock Equivalent (Aggregate):
Warrants-IPO 0 $7.00 $ 0
Effect of 5% Div 0
Options- employees
1993 Grant 112,910 $3.10 $ 350,021 $284,082
1994 Grant 0 $1.27 $ 0 $ 0
1995 Grant 0 $2.29 $ 0 $ 0
1995 Grant- #2 155,150 $3.54 $ 549,231 $363,051
1996 Grant 32,849 $4.19 $ 137,637 $ 68,326
1996 Grant #2 244,880 $6.40 $1,567,232 $292,876
1997 Grant (May '97) 12,000 $9.81 $ 117,720 $ (2,016)
Options- Directors:
1992 Grant 2,247 $2.99 $ 6,719 $ 5,752
1993 Grant 2,247 $1.66 $ 3,730 $ 6,948
1994 Grant 2,247 $2.05 $ 4,606 $ 6,597
1995 Grant 2,247 $4.07 $ 9,145 $ 4,782
1996 Grant 6,741 $6.21 $ 41,862 $ 8,575
Warrants-Directors
All 425,000 $3.88 $1,649,000 $936,700
7% Dividend 29,750 $0.00 $ 0
Warrants- Commonwealth 0 $4.47 $ 0
Underwriter options 0 $5.94 $ 0
Underwriter Warrants ( Unit) 0 $7.00 $ 0
5% dividend on Warrant 0
Total CSE Aggregate 1,028,268 4,436,903 $1,975,672 $6,412,575
Average and Quarter End Market Value:
Average Closing Bid $9.39
Quarter End Closing Bid $11.56
Computation: Primary Fully Diluted
Total Proceeds $6,412,575 $6,412,575
Application of assumed proceeds:
Toward repurchase of o/s shares $6,412,575 $6,412,575
Toward Paydown of debt $0 $0
$6,412,575 $6,412,575
Adjustment to Net Income:
Net income $1,640,470 $1,640,470
Interest expense reduction:
Debt paydown * avg. int rate*tax $0 $0
Adjusted Net Income $1,640,470 $1,640,470
Adjustments to Shares Outstanding:
Actual shares o/s 5,080,500 5,080,500
Net additional shares 345,353 473,547
Adjusted shares 5,425,853 5,554,047
Earnings Per Share before extraordinary item:
Before adjustment $0.32 $0.32
After adjustment $0.302 $0.30
SMT
EPS Calculation- Modified Treasury Stock Meth
Year Ended December 31, 1997
(After Extraordinary Item)
Exercise Assumed Tax Total
Assumptions Shares Price Proceeds Benefit Proceeds
Net income $1,459,470
Common Shares Outstanding 5,080,500
20% of Common Shares Outstanding 1,016,100
Common Stock Equivalent (Aggregate):
Warrants-IPO 0 $7.00 $ 0
Effect of 5% Div 0
Options- employees
1993 Grant 112,910 $3.10 $ 350,021 $284,082
1994 Grant 0 $1.27 $ 0 $ 0
1995 Grant 0 $2.29 $ 0 $ 0
1995 Grant- #2 155,150 $3.54 $ 549,231 $363,051
1996 Grant 32,849 $4.19 $ 137,637 $ 68,326
1996 Grant #2 244,880 $6.40 $1,567,232 $292,876
1997 Grant 12,000 $9.81 $ 117,720 ($2,016)
Options- Directors:
1992 Grant 2,247 $2.99 $ 6,719 $ 5,752
1993 Grant 2,247 $1.66 $ 3,730 $ 6,948
1994 Grant 2,247 $2.05 $ 4,606 $ 6,597
1995 Grant 2,247 $4.07 $ 9,145 $ 4,782
1996 Grant 6,741 $6.21 $ 41,862 $ 8,575
Warrants-Directors
All 425,000 $3.88 $1,649,000 $936,700
7% Dividend 29,750 $0.00 $0
Warrants- Commonwealth 0 $4.47 $0
Underwriter options 0 $5.94 $0
Underwriter Warrants (Units) 0 $7.00 $0
5% dividend on Warrants 0
Total CSE Aggregate 1,028,268 4,436,903 1,975,672 $6,412,575
Average and Quarter End Market Value:
Average Closing Bid $9.39
Quarter End Closing Bid $11.56
Computation: Primary Fully Diluted
Total Proceeds $6,412,575 $6,412,575
Application of assumed proceeds:
Toward repurchase of o/s shares $6,412,575 $6,412,575
Toward Paydown of debt $0 $0
$6,412,575 $6,412,575
Adjustment to Net Income:
Net income $1,459,470 $1,459,470
Interest expense reduction:
Debt paydown * avg. int rate*tax $0 $0
Adjusted Net Income $1,459,470 $1,459,470
Adjustments to Shares Outstanding:
Actual shares o/s 5,080,500 5,080,500
Net additional shares 345,353 473,547
Adjusted shares o/s 5,425,853 5,554,047
Earnings Per Share:
Before adjustment $0.29 $0.29
After adjustment $0.269 $0.263