Loss per Share Attributable to Atrinsic, Inc

9 Months Ended

Sep. 30, 2011

Loss per Share Attributable to Atrinsic, Inc

Note 12 – Loss per Share Attributable to Atrinsic, Inc

Basic (loss) earnings per share attributable to Atrinsic, Inc. is computed by dividing reported (loss) earnings by the weighted average number of shares of common stock outstanding for the period. Diluted (loss) earnings per share includes the effect, if any, of the potential issuance of additional shares of common stock as a result of the exercise or conversion of dilutive securities, using the treasury stock method. Potential dilutive securities for the Company include convertible notes, outstanding stock options and warrants.

The computational components of basic and diluted (loss) earnings per share are as follows:

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(dollars in thousands, except per share data)	2011			2010			2011			2010
EPS Denominator:
Basic weighted average shares		6,298,662			5,216,274			6,314,795			5,214,889
Effect of dilutive securities		-			-			-			-
Diluted weighted average shares		6,298,662			5,216,274			6,314,795			5,214,889

EPS Numerator (effect on net loss):
Net loss attributable to Atrinsic, Inc.	$	(4,522	)	$	(3,636	)	$	(14,188	)	$	(11,562	)
Effect of dilutive securities		-			-			-			-
Diluted loss attributable to Atrinsic, Inc.	$	(4,522	)	$	(3,636	)	$	(14,188	)	$	(11,562	)

Net loss per common share:
Basic weighted average loss attributable to Atrinsic, Inc.	$	(0.72	)	$	(0.70	)	$	(2.25	)	$	(2.22	)
Effect of dilutive securities		-			-			-			-
Diluted weighted average loss attributable to Atrinsic, Inc.	$	(0.72	)	$	(0.70	)	$	(2.25	)	$	(2.22	)

Common stock underlying outstanding options and convertible securities were not included in the computation of diluted earnings per share for the three and nine months ended September 30, 2011 and 2010, because their inclusion would be anti-dilutive when applied to the Company’s net loss per share.

Financial instruments, which may be exchanged for equity securities are excluded in periods in which they are anti-dilutive. The following shares were excluded from the calculation of diluted earnings per share:

Anti-Dilutive EPS Disclosure

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2011		2010		2011		2010

Options		306,550		670,460		306,550		670,460
Warrants		4,080,286		78,611		4,080,286		78,611
Restricted Shares		-		1,043		-		8,543
Restricted Stock Units		97,660		136,122		97,660		136,122
Convertible Note		2,004,656		-		2,004,656		-

The per share weighted average exercise prices of the options were $1.92 for the three and nine months ended September 30, 2011 and 2010. The per share exercise prices of the warrants ranged from $2.90 - $22.00 and $13.76 - $22.00 for the three and nine months ended September 30, 2011 and 2010, respectively.