Annual report pursuant to section 13 and 15(d)

NET LOSS PER SHARE

v2.3.0.11
NET LOSS PER SHARE
 12 Months Ended
Sep. 30, 2011
NET LOSS PER SHARE
10.
NET LOSS PER SHARE

Net loss per share is calculated using the weighted average number of shares of common stock outstanding during the year.  Basic weighted average common shares outstanding do not include shares of restricted stock that have not yet vested, although such shares are included as outstanding shares in the Company’s consolidated balance sheet.  Diluted loss per share is computed using the weighted average number of common shares outstanding and if dilutive, potential common shares outstanding during the period. Potential common shares consist of the incremental common shares issuable from restricted shares, stock options and convertible preferred stock. Preferred stock dividends are subtracted from net loss to determine the amount available to common stockholders.

The following table presents the computation of basic and diluted loss per share:

   
Year Ended September 30,
  
   
2011
    
2010
  
             
Loss from continuing operations
   $ (5,383,893 )   $ (8,578,009 )
Less: preferred stock dividends
     (1,918 )     (1,918 )
Loss from continuing operations
                
applicable to common stock
     (5,385,811 )     (8,579,927 )
Income (loss) from discontinued operations
     (118,355 )     1,121,291  
Net loss applicable to common stock
   $ (5,504,166 )   $ (7,458,636 )
                 
Weighted average common shares outstanding -
                
basic and diluted
     664,167       631,503  
                 
Earnings per share - basic and diluted1:
                
Loss from continuing operations
   $ (8.11 )   $ (13.59 )
Discontinued operations
     (0.18 )     1.78  
Net loss
   $ (8.29 )   $ (11.81 )

1 Certain amounts may not total due to rounding of individual components.

The following potentially dilutive securities were excluded from the calculation of net loss per share because the effects are antidilutive based on the application of the treasury stock method and/or because the Company incurred net losses during the period:

   
September 30,
  
   
2011
    
2010
  
             
Options to purchase shares of common stock
     24,013       5,263  
Series E convertible preferred stock
     127,840       127,840  
Shares of non-vested restricted stock
     1,342       4,903  
      153,195       138,006