November 2, 2005 9:18 AM PST
SGI stock faces delisting
The company's stock, which once traded at $50 per share, fell below NYSE's minimum standard for continued listing earlier this year.
The move comes as little surprise. The company received a warning from the NYSE in May, when its share price dropped below the $1 barrier. Although it had dipped into sub-$1 territory in late 2001 and again in late 2002, the price on both occasions recovered within a month or two.
This year, SGI's shares have traded below the dollar mark for six months straight. They currently trade at less than 70 cents--well below its $50 mark in the heady days of 1995.
NYSE's standard requires that a company's common stock trade at a minimum average closing share price of a dollar during a consecutive 30-day trading period. In a terse press release, SGI noted that "common stock has not returned to compliance with this standard."
SGI said it now expects its stock to be traded on the small-cap OTC Bulletin Board.
Matt Loney of ZDNet UK reported from London.
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