Effective October 16, the NASDAQ Stock Market LLC temporarily suspended the bid price and market value of publicly held shares requirements for continued NASDAQ listing through January 16, 2009. NASDAQ rules require listed companies to have a minimum closing bid price of $1.00 and a minimum market value of publicly held shares. NASDAQ acted at this time because the number of securities trading below $1 per share increased from 64 on September 30, 2007, to 344 on October 9, 2008, without there having been a fundamental change in the business of many of these companies.
As a result of the rule suspension, all listed companies presently in the compliance process will remain at that same stage of the process. Listed companies will not be cited for new bid price or market value of publicly held share deficiencies during the suspension period, and the time allowed to listed companies already in a compliance period or in the hearings process for bid price or market value of publicly held shares deficiencies will be suspended with respect to those requirements. NASDAQ will determine any new deficiencies with the bid price or market value of publicly held shares requirements using data beginning on January 19, 2009. However, if such listed company is presently subject to being delisted for concerns not related to the bid price or market value of publicly held shares requirements, it will continue in that process with respect to those other concerns.
NASDAQ will continue to monitor listed companies to determine if they regain compliance with these requirements during the suspension period.