Sonus Networks today announced the Nasdaq Stock Market has denied the company’s request for additional time to file its Form 10-Q for the period ended June 30, 2004.
Due to the extended time required to complete its recent detailed financial review and restate its historical financial results, Sonus previously announced that it would be unable to meet the August 9, 2004 Form 10-Q filing date and had requested an extension from Nasdaq to August 30, 2004.
In denying the company’s request, Nasdaq has determined to delist Sonus’ stock from the Nasdaq National Market effective as of the opening of the market on Friday, August 13, 2004.
Opportunity To Relist
The Panel has also determined to afford the company the opportunity to relist its stock on the Nasdaq National Market subject only to the National Market’s continued listing standards — rather than the more stringent initial listing standards.
As previously reported, Sonus will still attempt to file its Form 10-Q for the quarter ended June 30, 2004 by August 30, 2004. Upon filing its Form 10-Q, the Company will seek relisting with the Nasdaq and expects that it will then satisfy the National Market’s continued listing standards.
There can be no assurance, however, that Nasdaq will relist the company’s stock.
Following the Delisting
Following delisting, Sonus expects that its stock will be quoted on the National Quotation Service Bureau (the “Pink Sheets”) for trading.
The Company’s stock will not be immediately eligible to trade on the OTC Bulletin Board because the Company is not current in its periodic reporting requirements.
Upon Sonus’ filing its Form 10-Q for the quarter ended June 30, 2004, the Company’s stock would be eligible for quoting on the OTC Bulletin Board in accordance with applicable rules.
“We are extremely disappointed in the Nasdaq’s decision,” said Hassan Ahmed, chief executive officer and chairman of Sonus Networks. “Since the filing of our 10-K/A and first quarter 10-Q, we have made good progress toward the completion of our second quarter financial results and we continue to work diligently towards filing our 10-Q as soon as possible.”
Sonus Networks provides Voice over IP (VoIP) infrastructure technologies for wire and wireless service providers. Sonus offers a range of carrier applications, including trunking and tandem switching, residential and business access, network border switching and enhanced services.
Sonus, founded in 1997, is headquartered in Chelmsford, Massachusetts.