Nasdaq says Bon-Ton safe from delisting
The Nasdaq stock exchange has rescinded, at least for now, its warning to delist The Bon-Ton Stores Inc.
Nasdaq officials sent a letter to the company on March 9 notifying it that the market value of publicly held shares in company stock was less than $15 million for 30 consecutive business days, a situation that put the company out of compliance for continued listing on the exchange.
But today Bon-Ton announced that the letter has been withdrawn following discussions regarding publicly held shares outstanding. Bon-Ton still meets the required minimum market value, so delisting is off the table.
Shares of the department-store chain's stock are hovering at just above $1. Yahoo Finance said Bon-Ton had a market capitalization, or market cap, of about $22.1 million. Market cap can be calculated by multiplying outstanding shares by the current market price of a single share.
Bon-Ton reported its fourth quarter and fiscal year earnings on Wednesday, which show declining store traffic and a drop in sales.
Comparable store sales fell 4.7 percent in the fourth quarter and 3.8 percent for the fiscal year that ended Jan. 28.
The company also posted net income of $44.7 million in the fourth quarter, down from $50.6 million in the previous year. For the full fiscal year, Bon-Ton saw its net loss widen to $63.4 million, up from a net loss of $57.1 million in the previous year.