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FORM 10-K FOR FISCAL YEAR ENDED DECEMBER 31, 2002


NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

2. Earnings Per Share

 

Basic earnings per share (“Basic EPS”) have been computed using the weighted average number of common shares outstanding during the respective periods. The calculation of diluted earnings per share (“Diluted EPS”) for 2000 assumes conversion of our Convertible Notes as of the beginning of the respective periods and the elimination of the related after-tax interest expense. The calculation of diluted earnings per share for all periods assumes, as of the beginning of the period, exercise of stock options and warrants using the treasury stock method. Certain of our stock options that would potentially dilute Basic EPS in the future were also antidilutive for the 2002 and 2001 periods.

The following is a reconciliation of the numerators and denominators used in the calculation of Basic and Diluted EPS for the years ended December 31, 2002, 2001, and 2000:

 

2002 2001 2000



Per
Share
Per
Share
Per Share
Net Income Shares Amount Net Loss Shares Amount Net Income Shares Amount
----------- --------- ------- ----------- --------- ------- ---------- --------- ------
Basic EPS:
Net Income (Loss) and Share Amounts $11,923,227 26,382,906 $0.45  $(22,347,765) 24,732,099 $(0.90) $59,184,008 21,244,684 $2.79
Dilutive Securities:
6.25% Convertible Notes -- -- -- -- 4,772,418 3,546,933
Stock Options -- 372,700 -- -- -- 713,112
----------- --------- ----------- --------- ----------- ---------
Diluted EPS:
Net Income (Loss) and
Assumed Share Conversions
$11,923,227 26,755,606 $0.45 $(22,347,765) 24,732,099 $(0.90) $63,956,426 25,504,729 $2.51
========== ========= ========== ========= ========== =========

 


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