Note 3 - Earnings Per Share

3 Months Ended

Mar. 31, 2012

NOTE 3 – EARNINGS PER SHARE

Under the provisions of ASC 260, “Earnings Per Share”, basic income per common share is computed by dividing income available to common shareholders by the weighted average number of shares of common stock outstanding for the periods presented. Diluted income per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that would then share in our income, subject to anti-dilution limitations.

The following table sets forth the computation of basic and diluted earnings per share for the three month ended March 31, 2012 and 2011:

	Three Months Ended March 31,
	2012		2011
Numerator:
Net Income applicable to common stockholders (A)	$	278,757	$	108,494

Denominators:
Denominator for basic earnings per share
Weighted average shares outstanding (B)		41,508,203		41,508,203
Denominator for diluted earnings per share
Series A and B convertible preferred stock		4,500,000		4,500,000
Denominator for diluted earnings per share adjusted weighted average shares outstanding (C)		46,008,203		46,008,203

Basic and Diluted Earnings Per Common Share:
Earnings per share- basic (A)/(B)	$	0.01	$	0.00
Earnings per share- diluted (A)/(C)	$	0.01	$	0.00

- Definition

The entire disclosure for earnings per share.

+ References+ Details

China Logistics Group Inc 10-Q/A