Exhibit 11.0 Computation of Earnings per Share The following represents the computation of earnings per share reflecting the assumption that the granted shares under the option and warrants plan which would be dilutive will be exercised. Three Months Ended Six Months Ended June 30, June 30, -------- -------- 2004 2003 2004 2003 Net earnings applicable to common shareholders - basic $ 470,754 $ 217,333 $ 807,461 $ 485,313 Add: Dividend to preferred shareholders 28,200 -- 43,200 -- ---------- ---------- ---------- ---------- Net earnings - diluted $ 498,954 $ 217,333 $ 850,661 $ 485,313 ========== ========== ========== ========== Weighted average common shares outstanding - basic 12,483,979 12,322,908 12,447,374 12,315,655 Common share equivalents relating to stock options, warrants and preferred stock 3,582,024 144,913 3,606,673 120,599 ---------- ---------- ---------- ---------- Adjusted common and common equivalent shares for diluted computation 16,066,003 12,467,821 16,054,047 12,436,254 ========== ========== ========== ========== Net earnings per share: Basic $0.04 $0.02 $0.06 $0.04 Diluted $0.03 $0.02 $0.05 $0.04 Anti-dilutive options not included in the earnings per share computations 365,100 936,431 365,100 1,186,252 See notes to consolidated financial statements