EXHIBIT 11.1 STATEMENT RE: COMPUTATION OF PER SHARE EARNINGS Six Months Ended June 30, Three Months Ended June 30, 1999 1998 1999 1998 ---------- ----------- ----------- ------------ Net income (loss) $1,315,604 $(6,486,583) $ 1,175,494 $ (3,289,158) Less: Preferred stock dividends (145,064) - (85,096) - Deduction related to Series C Convertible Preferred Stock 133,320) - (133,320) - ---------- ------------ ----------- ------------- Net income (loss) applicable to common stock $1,037,220 $(6,486,583) $ 957,078 $ (3,289,158) ========== ============ =========== ============= Basic: Weighted average number of common shares outstanding 28,685,000 28,673,000 28,686,000 28,685,000 ========== ============ =========== ============= Basic net income (loss) per common and common equivalent share $.04 $(.23) $.03 $(.11) ========== ============ =========== ============= Diluted: Weighted average number of common shares outstanding 28,685,000 28,673,000 28,686,000 28,685,000 Weighted average number of dilutive common equivalents 789,000 - 1,195,000 - ---------- ------------ ----------- ------------- Weighted average number of common and common equivalent shares outstanding 29,474,000 28,673,000 29,881,000 28,685,000 ========== ============ =========== ============= Diluted net income (loss) per common and common equivalent share $.04 $(.23) $.03 $(.11) ========== ============ =========== =============