PurchasePro may again face delisting issue

Thursday, March 7, 2002 | 11:07 a.m.

Las Vegas e-commerce company PurchasePro said Wednesday afternoon it has received no delisting warning from the Nasdaq exchange, after its stock closed below the $1 level for the 30th consecutive trading day.

Nasdaq-listed companies are required to maintain a share price of at least $1 per share. If it closes below that level for a minimum of 30 consecutive trading days, "Nasdaq will promptly issue a deficiency notice to the company," said Nasdaq spokesman Wayne Lee.

PurchasePro stock last closed at $1 on January 18, and has not closed above that level since. Wednesday's close of 72 cents per share marked the 30th straight close below the $1 threshold.

"We haven't received a notice from Nasdaq, but that's not to say we won't," said PurchasePro spokesman Steve Stern.

If a notice is sent, PurchasePro could avoid the start of delisting procedures by closing above the $1 level for 10 straight trading days.

After that, "we can make the determination to delist the company, but there is a complicated hearing and appeals process that can be exhausted," Lee said.

Even if PurchasePro receives a notice, Stern said the company is confident it can keep its Nasdaq listing.

"Our feeling is that even if we're noticed, we have remedies," Stern said. "We can always do a reverse (stock) split. We're still on track to be (cash flow) positive and generate cash, and once that happens, it cures the whole thing."