Wilsons' woes continue
08/05/2008
Wilsons The Leather Experts has been warned that it faces de-listing from Nasdaq.
The company's value, according to the stock exchange authorities, has slipped below the minimum of $5 million and Nasdaq has told the retail company that it has until July 30 to recover its status.
To achieve that, its value must reach $5 million again and maintain that level for ten consecutive trading days. If it fails to do so, Nasdaq will issue notice to de-list Wilsons from its list.
This follows several months of financial woes for Wilsons.
In April, after its annual report came out, analysts warned that they had serious concerns about the company's ability to continue as a going concern.
In March the company reported a loss of $8.4 million for the fourth quarter of 2007, down from a profit of $11.9 million during the same period a year earlier. Its chief executive, Michael Searles, said he would step down on announcing those results.
In February it announced that it would close 160 stores and cut 1,000 jobs to reduce costs.
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