Exhibit 11.1 Statement regarding computation of per share earnings The numerators and denominators of basic and fully diluted earnings per share are as follows: |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| | | Three months | Three months | Nine months | Nine months | | | ended September | ended September | ended September | ended September | | | 30, 2004 | 30, 2003 | 30, 2004 | 30, 2003 | |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| | Net (loss) income allocable to common shares| $ (793,331) | $ (2,246,049) | $ (4,085,887) | $ (23,097,727) | | (numerator) | | | | | |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| | Shares used in the calculation (denominator)| | | | | |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| | Weighted average shares outstanding | 6,353,334 | 100 | 2,133,303 | 100 | |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| | Effect of diluted stock options | -- | -- | -- | -- | |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| | Fully diluted shares | 6,353,334 | 100 | 2,133,303 | 100 | |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| | Basic earnings per share | $ (0.12) | $ (22,460) | $ (1.92) | $ (230,977) | |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| |---------------------------------------------|-----------------|-----------------|-----------------|-----------------| | Fully diluted earnings per share | $ (0.12) | $ (22,460) | $ (1.92) | $ (230,977) | |---------------------------------------------|-----------------|-----------------|-----------------|-----------------|