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Avalon Correctional Services Delisted From NASDAQ
On February 3, 2005, Avalon Correctional Services, Inc., announced that it had filed Form 15 with the Securities and Exchange Commission (SEC) to terminate the company's common stock pursuant to the Securities and Exchange Act of 1934 (SEA). This allows Avalon to cease filing SEC-required reports, including forms 8-K, 10-K and 10-Q.
Avalon complained that the costs of complying with Section 404 of the SEA, as required by the Sarbanes-Oxley Act of 2002, was making the business unprofitable. By terminating common stock, it will eliminate legal, auditing, accounting and printing expenses associated with compliance. These costs might otherwise cause Avalon to default on its loan obligations and prevent it from accessing sufficient funds to continue daily operations.
Avalon will no longer be listed on the NASDAQ. It may be traded over the counter on the Pink Sheets, a centralized stock quotation service that operates through a web site. Avalon will still be required to report to its stockholders under Nevada state law. Avalon also announced its intention to post its press releases, quarterly reports and annual financial results on its website.
Source: Avalon Company Press Released.
Avalon complained that the costs of complying with Section 404 of the SEA, as required by the Sarbanes-Oxley Act of 2002, was making the business unprofitable. By terminating common stock, it will eliminate legal, auditing, accounting and printing expenses associated with compliance. These costs might otherwise cause Avalon to default on its loan obligations and prevent it from accessing sufficient funds to continue daily operations.
Avalon will no longer be listed on the NASDAQ. It may be traded over the counter on the Pink Sheets, a centralized stock quotation service that operates through a web site. Avalon will still be required to report to its stockholders under Nevada state law. Avalon also announced its intention to post its press releases, quarterly reports and annual financial results on its website.
Source: Avalon Company Press Released.
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