45 Exhibit 11.1 Statement Regarding Computation of Net Income Per Share Computation of Per Share Income (Loss) For the three months ended For the nine months ended September 30, September 30, ------------- ------------- 1997 1996 1997 1996 ---- ---- ---- ---- Earnings per common and common equivalent share: Average market price/Initial public offering price............................................. $ 19.26 $ 16.00 $ 16.29 $ 16.00 Weighted average common shares outstanding during period:.................................... 12,317,853 1,223,000 12,090,000 1,206,000 Shares of common stock issued within the last twelve months preceding the initial filing date ...................................... -- 1,272,000 -- 1,272,000 ---------- --------- ---------- --------- 12,317,853 2,495,000 12,090,000 2,478,000 ---------- --------- ---------- --------- Common stock equivalents: Common stock options and warrants granted within the last twelve months preceding the initial filing date .............................. -- 1,375,000 -- 1,375,000 Preferred stock convertible into common stock and sold within the last twelve months preceding the initial filing date................. -- 4,019,000 -- 4,019,000 Incremental number of shares arising from outstanding common stock options and warrants .... 1,485,190 -- -- -- ---------- ---------- ---------- ---------- 1,485,190 5,394,000 -- 5,394,000 Weighted average common and common equivalent shares ................................ 13,803,043 7,889,000 12,090,000 7,872,000 Net income (loss) for period ..................... $ 1,648,000 $ (1,322,000) $ (3,726,000) $(3,550,000) Income (loss) per share .......................... $ 0.12 $ (0.17) $ (0.31) $ (0.45)