Kodak warns it may be delisted from NYSE, might not recover
updated 09:25 pm EST, Tue January 3, 2012
Latest sign of increasing troubles
Kodak has warned shareholders that it has received a notice from the New York Stock Exchange that its stock may be delisted. The NYSE is said to have sent a letter nothing that Kodak shares have failed to maintain a closing price of at least $1 for 30 consecutive trading days, in violation of listing standards.
Although the NYSE allows for a six-month grace period for the stock to return to compliance, Kodak issued a statement cautioning that there is "no assurance" that it will recover amid ongoing "liquidity challenges."
The disclosure comes just days after SEC filings shed light on troubles within the company's leadership, as three members of the board of directors have resigned within one week.
Efforts to maintain profitability through divestments and intellectual property lawsuits have yet to bear fruit, leaving the company to warn shareholders late last year that it may have to cease operations if a turnaround cannot be achieved. [via Wall Street Journal (sub. required)]
