Basic net income (loss) per share represents net income (loss) divided by the weighted average shares of common stock outstanding during the period. Diluted net income (loss) per share represents net income (loss) divided by the weighted average shares of common stock and common stock equivalents, if applicable, outstanding during the period. Common stock equivalents arise from stock options and unvested restricted share awards, using the treasury stock method. Under the treasury stock method, the amount the Company would receive on the exercise of stock options and the vesting of the restricted stock awards, the amount of compensation cost for future service that the Company has not yet recognized, and the amount of tax benefits that would be recorded in common stock when these awards become deductible are assumed to be used to repurchase the shares underlying these awards at the average share price for each fiscal period, and these repurchased shares are netted against the underlying stock options and unvested restricted shares. A reconciliation of basic to diluted weighted average shares of common stock outstanding is as follows (in thousands):



Basic weighted average shares outstanding	10,555	10,567	10,643	10,608
Common stock equivalents:
Stock options and restricted stock	184	—	130	110

Diluted weighted average shares outstanding	10,739	10,567	10,773	10,718

For the five-week transition period ended January 1, 2011, all common stock equivalents were excluded from the calculation of diluted weighted average shares outstanding because they were anti-dilutive and amounted to 1,244,708 share based awards. These anti-dilutive share based awards included approximately 174,000 common stock equivalents that would have been included in the diluted weighted average shares outstanding if the Company had net income.

For fiscal 2011, fiscal 2010, and fiscal 2009, the anti-dilutive share based awards that were excluded from the calculation of common stock equivalents for purposes of computing diluted weighted average shares outstanding amounted to 1,045,351, 1,047,146, and 977,954 shares, respectively. These share-based awards were anti-dilutive because their exercise price exceeded the average market price for the respective period.