Activision Faces Potential NASDAQ Delisting

Sean Sands

Optimistic Cynic
Sep 14, 2006
292
0
0
Activision Faces Potential NASDAQ Delisting

Activision, the second largest gaming publisher, is facing the possibility of being dropped by the NASDAQ stock exchange after the company failed to file a timely financial report for the quarter ending September 30.

The company had reported [http://www.escapistmagazine.com/newsroom/view/65816-Activision-Q2-Report-Better-Than-Expected-Still-Down-From-06] at the beginning of October what looked to be a strong Q2 earnings that beat analyst expectations and raised the FY '07 forecast to $1.15 billion in revenue. However, after failing to meet the quarterly financial reporting standards set, on November 14 Activision received a Nasdaq Staff Determination Letter indicating compliance failure.

The company plans to request a hearing by the Nasdaq Listing Qualifications Panel to avoid delisting and bring itself back into compliance, though there is no guarantee that the hearing will rule in Activision's favor. According to an Activision press release, the publisher intends to file its reports "as soon as practicable".

Permalink