BARCELONA, Spain, May 26, 2011 /PRNewswire/ -- Private Media Group,
Inc.(NASDAQ: PRVT) a worldwide leader in premium-quality adult
entertainment products today announced that on May 19, 2011, the Company received a letter
from The NASDAQ Stock Market stating that because the Company
failed to file its Form 10-Q for the period ended March 31, 2011, on or before its due date, and
because the Company remains delinquent in filing Form 10-K for the
period ended December 31, 2010, on or
before its due date, April 15, 2011,
it is not in compliance with NASDAQ Marketplace Rule 5250(c)(1)
(the "Rule"), which requires that a listed company timely file
periodic financial reports with the U.S. Securities and Exchange
Commission as a condition to continued listing of its securities.
The letter has no immediate effect on the listing of the
Company's Common Stock.
Under the NASDAQ Listing Rules the Company has until
June 17, 2011, to submit a plan to
regain compliance with the Rule. If the Plan is accepted by
NASDAQ, it has the authority to grant an exception to the Rule for
up to 180 calendar days from the first delinquent filing's due
date, or until October 12, 2011, to
regain compliance with the Rule by filing any past due periodic
filings with the SEC. In determining whether to accept the
Plan, NASDAQ will consider such things as the likelihood that the
two delinquent filings, along with any subsequent periodic filing
that becomes due, can be made within the 180 day period, the
Company's past compliance history, the reasons for the late
filings, other corporate events that may occur within our review
period, the Company's overall financial condition and its public
disclosures.
On May 24, 2011, the Company was
further advised by the Staff of the NASDAQ Stock Market that if the
Form 10-K and Form 10-Q are not filed by June 3, 2011, the Staff will need to send a Staff
Determination Letter with regard to the pending issues, including
the Company's failure to comply with NASDAQ Listing Rule
5605(b)(1), which rule requires its Board of Directors to have a
majority of independent directors. As previously reported,
the Company ceased to comply with this rule on May 12, 2011, upon the resignation of Bernt
Akander, an independent director.
The Company is finalizing the delinquent filings and intends to
complete them on or before June 3,
2011. The Company is also seeking to identify and
appoint a new independent director to fill the vacancy created by
the resignation of Bernt Akander. If for any reason the
Company is unable to complete the delinquent filings by
June 3, 2011, and NASDAQ then issues
a Staff Determination Letter, the Company will request a hearing
before a NASDAQ Listing Qualifications Panel to review the Staff
Determination, and will endeavor to be in compliance with all
applicable NASDAQ rules prior to the hearing date. Any such Staff
Determination Letter would have no immediate effect on the listing
of the Company's Common Stock.
About Private Media Group
Founded in 1965, NASDAQ listed Private Media Group is a
brand-driven world leader in adult entertainment, operating a
global content distribution network with a wide range of platforms
including mobile telephone handsets via 104 network operators in 45
countries, digital TV via 38 platforms in 24 countries, broadband
Internet, television broadcasting, DVDs and magazines. Private
Media Group owns the worldwide rights to its extensive archive of
high-quality content, and also licenses its Private and "Silver
Girls" trademarks internationally for a select range of luxury
consumer products. Private is the world's preferred content
provider of adult entertainment to consumers anywhere, at any time
and across all distribution platforms and devices.
Corporate site: prvt.com, consumer site: private.com
Disclaimer
This release contains, in addition to historical information,
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended, which reflect the
Company's current judgments of those issues. However, because those
statements are forward-looking and apply to future events, they are
subject to such risks and uncertainties, which could lead to
results materially different than anticipated by the Company.
For further information please contact:
Johan Gillborg
Chief Financial Officer
Private Media Group, Inc.
Tel +34 93 620 80 90
johan.gillborg@private.com
SOURCE Private Media Group