CMKM Diamonds Inc (fka CMKX)

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They can compute it because shorted shares are not part of the calculation.

Shareholder Equity is the net worth of a company. It represents the stockholders' claim to a business's assets after all creditors and debts have been paid. Shareholder equity is also referred to as Owner's or Stockholders' Equity. It can be calculated by taking the total assets and subtracting the total liabilities.

Shareholder equity usually comes from two places. The first is cash paid in by investors when the company sold stock; the second is retained earnings, which are the accumulated profits a business has held on to and not paid out to its shareholders as dividends. Because these are the two ways a company generally creates shareholders' equity, the balance sheet is organized to show each parts' contribution.


http://beginnersinvest.about.com/library/lessons/bl-lesson3y.htm