Electronics Production | August 17, 2006
Nasdaq warns Sanmina-SCI of delisting
Sanmina-SCI Corporation has requested a hearing before the NASDAQ Listing Qualifications Panel in response to the receipt of a NASDAQ Staff Determination letter indicating that the Company is not in compliance with the filing requirements for continued listing as set forth in Marketplace Rule 4310(c)(14).
As anticipated, the letter was issued in accordance with NASDAQ procedures due to the delayed filing of the Company's Form 10-Q for the quarter ended July 1, 2006. Pending a decision by the Panel, the Company's shares will remain listed on the NASDAQ Stock Market. As previously announced, a special committee comprised of disinterested members of Sanmina-SCI's Board of Directors was formed to conduct an independent investigation into the Company's stock administration practices dating back to January 1, 1997. The special committee is being assisted by independent outside legal counsel and accounting consultants. The special committee's investigation is on-going and, as a result, the Company cannot determine at this time the financial impact to the Company's financial statements, including the amount of any non-cash stock compensation charges, any resulting tax, or which accounting periods might be affected. Accordingly, the Company was unable to file with the Securities and Exchange Commission its Form 10-Q for the quarter ended July 1, 2006 by the required filing deadline. The Company is focused on resolving these issues as quickly as possible and plans to file its Form 10-Q following completion of the independent investigation by the special committee.