Shares Remain Listed On NASDAQ In Good Standing
LOUISVILLE, Ky.--(BUSINESS WIRE)--Oct. 8, 2009--
Sypris Solutions, Inc. (Nasdaq/NM: SYPR) today announced that it has
received a Letter of Reprimand from the Nasdaq Listing Qualifications
Department of The NASDAQ Stock Market LLC indicating that the Company
inadvertently failed to comply with the stockholder approval
requirements set forth in Nasdaq Listing Rule 5635, in connection with
the Company’s option exchange tender offer conducted from March 31, 2008
to May 12, 2008.
The Department noted “that the Company believed that shareholder
approval was not required for the Offer.” The Department also noted (i)
that the Company had not demonstrated a pattern of non-compliance with
Nasdaq Rules, (ii) that the Company had relied on the advice of counsel
and (iii) that the Company’s failure to comply with the Rule was
inadvertent. Finally, the Department stated its belief that “it is
appropriate to close this matter by issuing this Letter of Reprimand,”
without further affecting the listing or trading status of the Company’s
common stock on The NASDAQ Global Market.
John R. McGeeney, the Company’s General Counsel, stated, “We accept
NASDAQ’s determination that we should have obtained stockholder approval
before proceeding with the exchange offer. The Company’s Management and
the Board are committed to good governance practices, and the Company
certainly would have sought stockholder approval of the exchange if we
had believed it was required. We plan to amend our plan language to
require explicit stockholder approval prior to any future exchange,
repricing or similar action.”
Sypris Solutions is a diversified provider of technology-based
outsourced services and specialty products. The Company performs a wide
range of manufacturing and technical services, typically under
multi-year, sole-source contracts with major corporations and government
agencies in the markets for aerospace and defense electronics, truck
components and assemblies, and test and measurement services. For more
information about Sypris Solutions, visit its Web site at www.sypris.com.
Source: Sypris Solutions, Inc.
Sypris Solutions, Inc.
Brian A. Lutes, Chief Financial
Officer, 502-329-2000
