FSA has fined a microelectronics firm £140,000 for not disclosing price-sensitive information to the market as soon as possible. The company received negative news that meant a significant drop in its forecast revenues. It also received positive news that it considered evened out the probable drop. Its investor relations advisers said there was no need to disclose the negative news. At a board meeting over a week later, the board reconsidered this advice and consulted the company’s lawyers and corporate brokers who said it should disclose. As a result, FSA considered the company breached the Listing Principles and DTR by not disclosing the information for 16 days. Sally Dewar said companies should not assume they can rely on outside advice without giving it proper consideration.
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