Exhibit 11.1 Statement regarding computation of earnings per share.

The  Company  computes  earnings  per  share in  accordance  with FAS No.  128,
Earnings  Per Share.  For the three  month  period  ended March 31,  1997,  the
Company was required to pay dividends on it's  outstanding  convertible  stock.
Such  preferred  stock was  converted  into common stock on June 30, 1997.  The
preferred  dividend  requirements  for the periods in which the preferred stock
was  outstanding  have been  added to the loss from  continuing  operations  to
arrive  at net loss  available  to common  shareholders  in  calculating  basic
earnings per share.

The Company has stock options and warrants  outstanding which were not included
in the  computation  of fully  diluted  earnings  per share for the three month
period ended March 31, 1997 because to do so would have been  anti-dilutive for
periods  presented.  Such options and warrants were included in the computation
of diluted earnings per share for the three month period ended March 31, 1998.

Computations of basic and diluted earnings per share are set forth below:

<TABLE>
<CAPTION>
Income for EPS Computation
                                                                          Three Months ended March 31,
                                                                          1998               1997
                                                                          ----               ----
<S>                                                               <C>                <C>  

Income (loss) from continuing operations                          $          842,241 $          (93,408)
Preferred stock dividend  requirement                                          -----           (192,500)
                                                                    -----------------  ------------------

Income (loss) available to common shareholders                               842,241           (285,908)

Loss from discontinued operations                                              -----         (2,435,422)
                                                                    -----------------  ------------------

Net income (loss) available to common
shareholders                                                      $          842,241 $       (2,721,330)
                                                                    =================  ==================


</TABLE>
<PAGE>
Weighted-average shares for the three months ended March 31, 1998 is calculated
as follows:
<TABLE>
<CAPTION>
                     Dates                              Shares             Fraction            Weighted
                  Outstanding                        Outstanding          of Period         Average Shares

<S>                                              <C>                        <C>          <C>   

January 1 - January 29                                     20,574,626       29/90                   6,629,602
Issuance of common  stock on January 30                       365,957
                                                 ---------------------

January 30 - March 31                                      20,940,583       61/90                  14,193,062
                                                 ---------------------                   ---------------------

Weighted average shares                                                                            20,822,664
                                                                                         =====================
</TABLE>

Weighted-average shares for the three months ended March 31, 1997 is calculated
as follows:


 Dates                         Shares           Fraction         Weighted
 Outstanding                   Outstanding      of Period     Average Shares
------------------------------------------------------------------------------


January 1 - March 31, 1997     3,785,671          90/90           3,758,671
                                                             ==============

<TABLE>
<CAPTION>
The basic EPS computation is as follows:

                                                                            Three months ended March 31,
                                                                              1998                 1997
                                                                              ----                 ----
<S>                                                                    <C>                <C>    

Income (loss) per common share - basic:

   Continuing operations                                                                   
                                                                        $            0.04  $            (0.07)
   Loss from discontinued operations                                                -----               (0.65)
                                                                        ==================  ===================

         Total                                                                         
                                                                        $            0.04  $            (0.72)
                                                                        ==================  ===================


Weighted average number of common
    shares outstanding-diluted                                                 20,822,664            3,758,671
                                                                        ==================  ===================

</TABLE>
<PAGE>
The diluted EPS computation is as follows:
<TABLE>
<CAPTION>
                                                                           Three months ended March 31,
                                                                           1998                1997
                                                                           ----                ----
<S>                                                                <C>                 <C>  

Income (loss) from continuing operations                           $           842,241 $         (93,408)
Preferred stock dividend requirement                                             -----          (192,500)
                                                                     ------------------  -----------------

Income (loss) available to common shareholders                                 842,241          (285,908)

   Loss from discontinued operations                                             -----        (2,435,422)
                                                                     ------------------  -----------------

Net income (loss) available
   to common shareholders                                          $           842,241 $      (2,721,330)
                                                                     ==================  =================




Weighted-average shares:                                                    20,822,664          3,758,671
Plus:  Incremental shares from
assumed
          conversions of warrants and options                                1,238,597              -----
                                                                     ------------------  -----------------

Adjusted weighted average shares
                                                                            22,061,261          3,758,671
                                                                     ==================  =================
</TABLE>
<TABLE>
<CAPTION>
                                                                           Three months ended March 31,
                                                                           1998                1997
                                                                           ----                ----
<S>                                                                 <C>                 <C>   

Income (loss) per common share - diluted:

   Continuing operations                                                             
                                                                     $            0.04   $         (0.07)
   Loss from discontinued operations                                              0.00             (0.65)
                                                                     ------------------  -----------------

         Total                                                                                       
                                                                     $            0.04   $           0.72)
                                                                     ==================  =================


Weighted average number of common
    shares outstanding-diluted                                              22,061,261          3,758,671
                                                                     ==================  =================

</TABLE>

The equation for computing (basic and diluted) EPS is:

          Income available to common stockholders
          ---------------------------------------------------
                       Weighted-average shares