On October 10, 2008, we received notice from the New York Stock Exchange (NYSE) stating we had not met Rule 802.01C, a continued listing requirement as follows:
| · | average closing share price of $1.00 or greater over a consecutive 30 trading-day period. |
We have six months, or until April 10, 2009, to regain compliance with the minimum $1.00 common share price requirement. Compliance may be achieved if both our closing common share price is $1.00 and the average share price over the preceding 30 trading-day period is $1.00. In the event that at April 10, 2009, both a $1.00 share price and a $1.00 average share price over the preceding 30 trading-day period are not attained, the NYSE will commence suspension and delisting procedures.
We are required to and will notify the NYSE within 10 business days or prior to October 24, 2008 of our intent to cure this deficiency. If the trading average does not sufficiently improve, we intend to consider all available alternatives, including among other things, a reverse split of our common shares.
Continued listing requirements for the NYSE also include Rule 802.01B as follows:
| · | minimum average market capitalization of $25 million over a 30 trading-day period. |
Non-compliance with this requirement results in an immediate initiation of suspension and delisting procedures. On October 16, 2008, our market capitalization was $22.4 million and our average market capitalization over the preceding 30 trading-day period was $26.1 million.
We intend to continue to monitor our compliance with the continued listing requirements of the NYSE.
A copy of our related news release is attached as Exhibit 99.1.
