1 EXHIBIT 11 STATEMENT RE: COMPUTATION OF PER SHARE EARNINGS YEAR ENDED DECEMBER 31, --------------------------------------- 1996 1995 1994 ------------ ----------- ---------- PRIMARY: Average shares outstanding....................... 6,261,519 6,212,517 6,187,196 Net effect of dilutive stock options -- based on the treasury method........................... 159,699 178,177 326,719 Weighted average number of shares held in treasury...................................... (1,181,576) (1,128,265) (905,214) ------------ ----------- ---------- Shares used to compute primary per share income (loss)........................................ 5,239,642 5,262,429 5,608,701 ============ =========== ========== Income (loss) before cumulative effect of accounting change................................ $(15,233,063) $ 218,890 $4,515,088 Cumulative effect of accounting change............. (7,290,621) ------------ ----------- ---------- Net income (loss).................................. $(15,233,063) $(7,071,731) $4,515,088 ============ =========== ========== Net income (loss) per Common Share: Net income before cumulative effect of accounting change........................................ $ (2.91) $ .04 $ .81 Cumulative effect of accounting change........... (1.38) ------------ ----------- ---------- Net income (loss) per common share............... $ (2.91) $ (1.34) $ .81 ============ =========== ========== FULLY DILUTED: Average shares outstanding....................... 6,261,519 6,212,517 6,187,196 Net effect of dilutive stock options -- based on the treasury stock method using the year-end market price, if higher than average market price......................................... 195,664 250,432 326,719 Assumed conversion of 8% subordinated convertible debentures.................................... 1,038,230 1,089,918 1,155,260 Assumed conversion of 6 1/2% subordinated convertible debentures........................ 592,079 599,344 651,665 Weighted average number of shares held in treasury...................................... (1,181,576) (1,128,265) (905,214) ------------ ----------- ---------- Shares used to compute fully diluted per share income (loss)................................. 6,905,916 7,023,946 7,415,626 ============ =========== ========== Net income before cumulative effect of accounting change and adjustments........................... $(15,233,063) $ 218,890 $4,515,088 Add 8% subordinated convertible debenture interest, net of income tax effect......................... 1,243,183 1,297,787 1,491,385 Add 6 1/2% subordinated convertible debenture interest, net of income tax effect............... 891,072 889,687 1,060,504 Cumulative effect of accounting change............. (7,290,621) ------------ ----------- ---------- Adjusted net income (loss)......................... $(13,098,808) $(4,884,257) $7,066,977 ============ =========== ========== Net income (loss) per Common Share: Net income before cumulative effect of accounting change........................................ $ (1.90) $ .34 $ .95 Cumulative effect of accounting change........... (1.04) ------------ ----------- ---------- Net income (loss) per common share............... $ (1.90) $ (.70) $ .95 ============ =========== ==========