Audiovox 2008 Annual Report Download - page 72

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Audiovox Corporation and Subsidiaries
Notes to Consolidated Financial Statements, continued
February 29, 2008
(Dollars in thousands, except share and per share data)
A reconciliation between the denominators of the basic and diluted income (loss) per common share are as follows:
Three
Year Year Months Year
Ended Ended Ended Ended
February 29, February 28, February 28, November 30,
2008 2007 2006 2005
Weighted-average number of common shares outstanding
(basic) 22,853,482 22,366,413 22,526,497 22,278,542
Effect of dilutive securities:
Stock options and stock warrants 22,680 190,859 240,096 -
Weighted-average number of common and potential
common shares outstanding (diluted) 22,876,162 22,557,272 22,766,593 22,278,542
Stock options and stock warrants totaling 1,336,787, 1,157,226, 1,028,000 and 611,923 for the years ended February 29,
2008, February 28, 2007, the three months ended February 28, 2006 and the year ended November 30, 2005,
respectively, were not included in the net income (loss) per common share calculation because the exercise price of these
options and warrants were greater than the average market price of common stock during the period or these options and
warrants were anti-dilutive due to losses during the respective periods.
q) Other Income (Loss)
Other income (loss) is comprised of the following:
Three
Year Year Months Year
Ended Ended Ended Ended
February 29, February 28, February 28, November 30,
2008 2007 2006 2005
CellStar impairment (see Note 1 (e)) $ - $ - $ - $ (1,758)
Bliss-tel (see Note 13) 1,533 (178) - 4,971
Interest Income 3,078 6,218 1,108 3,813
Rental income 552 552 143 610
Other (454) (339) 518 2,094
Total other, net $ 4,709 $ 6,253 $ 1,769 $ 9,730
r) Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets to be disposed of
Long-lived assets and certain identifiable intangibles are reviewed for impairment in accordance with SFAS No. 144
whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable.
Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future
undiscounted net cash flows expected to be generated by the asset. Recoverability of assets held for sale is measured by
comparing the carrying amount of the assets to their estimated fair market value. If such assets are considered to be
impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceed
the fair value of the assets.
F-18
Source: AUDIOVOX CORP, 10-K, May 14, 2008