content_image/38504.jpg content_image/38503.jpg content_image/38501.jpg content_image/38505.jpg content_image/38502.jpg
<img src='content_image/38504.jpg'>

## Deferred tax liabilities: 

<img src='content_image/38503.jpg'>

During 2002, the Company increased its valuation allowance by $7.4 million for certain state and international loss carryforwards generated during the year. 

At December 31, 2002, the Company had net operating losses available for federal income taxes purposes of $55.0 million which are subject to certain annual limitations under the Internal Revenue Code, and expire at various dates from 2018 to 2020. Also, foreign net operating losses of $56.7 million (net of related valuation allowances) were available, of which $55.7 million expires at various dates from 2005 to 2008. 

Significant components of the provision for income taxes attributable to continuing operations were as follows: 

<img src='content_image/38501.jpg'>

The reconciliation of income tax attributable to continuing operations computed at the U.S. federal statutory tax rate to income tax expense was: 

<img src='content_image/38505.jpg'>

## Not L 

The following table sets forth the computation of basic and diluted earnings per share: 

<img src='content_image/38502.jpg'>

Securities of approximately 23,000,000, 5,217,000 and 5,496,000 during 2002, 2001 and 2000, respectively, were not included in the computation of diluted earnings per share because their inclusion would be antidilutive. 

## Earnings Per Share 

