| | 2005-7-7 www.appliancemagazine.com The editor | | | Electric housewares maker Salton, Inc. announced that it has received a letter from the New York Stock Exchange (NYSE) that contained "an early warning" of potential non-compliance with certain of the NYSE's recently amended continued listing standards.
Under the applicable amended continued listing standards, Salton's common stock would be subject to delisting if Salton's average market capitalization is less than U.S. $25 million over a 30 trading-day period ending July 29, 2005. According to the NYSE, Salton's total market capitalization is currently less than $25 million.
While the NYSE's rules provide procedures which allow listed companies to submit a plan to regain compliance with certain of the NYSE's listing standards, these procedures are not available with respect to a delisting as a result of having an average market capitalization less than $25 million. As a result, if Salton does not exceed this criteria on July 29, 2005, its common stock would likely be subject to prompt suspension and delisting procedures.
NYSE representatives indicated that, in making an actual determination with respect to delisting Salton's common stock based on the failure to meet the minimum listing condition, the NYSE would: include the 3,529,412 shares of common stock issuable upon conversion of Salton's outstanding Series A convertible preferred stock and take into consideration the effect of the previously disclosed exchange offer transaction (which would result in the issuance of up to 2,263,880 shares of Salton's common stock). |
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