Atari To Fight NASDAQ Delisting Notice
U.S. publisher Atari has anounced that it is out of compliance with the NASDAQ stock market's rule that its stock maintain a $1.00 price, but has vowed to fight any attempts to delist it from the market - another blow for the struggling company were it to come to pass.
Atari explained that "unless the bid price of our common stock closed at $1.00 per share or more for a minimum of 10 consecutive business days prior to August 30, 2006, the common stock would be subject to delisting. The price of the common stock did not reach that level" - it's currently listed at $0.69, in fact.
However, the company intends to request a hearing before a NASDAQ Listing Qualifications Panel, and will remain listed on The NASDAQ Global Market until the Panel issues its decision following the hearing (the date of which is not yet known). Atari expects the hearing to be held in approximately 25 to 45 days.
Atari's most recent financials
showcased reduced revenue but a reduced loss thanks to its recent IP sales, and it is unclear whether long-term debts from parent firm Infogrames and continues IP divestiture augur well for the company's long-term future.