Harbinger Group Inc. Receives Non-Compliance Notice from the New York Stock Exchange
NEW YORK, Aug 06, 2010 (BUSINESS WIRE) --
On August 3, 2010, Harbinger Group Inc. (NYSE: HRG) ("HGI") received notification from the New York Stock Exchange, Inc. (the "NYSE") that it is not in compliance with Section 802.01D of the NYSE Listed Company Manual because HGI currently has no primary operations and substantially all of its assets are held in cash, cash equivalents and U.S. government securities. As permitted by the NYSE procedures, on August 3, 2010 HGI submitted its business plan to the NYSE to formalize its initiatives and objectives in achieving a return to compliance no later than May 12, 2011, the last date of the period granted by the NYSE to cure HGI's non-compliance. HGI's business plan has been accepted by the NYSE, and HGI will be subject to ongoing monitoring to ensure its sustained progress with respect to plan goals. HGI shares will continue to be listed and traded on the NYSE, subject to HGI's compliance with its business plan and other NYSE continued listing standards. If HGI is not in compliance with the continued listing standards by May 12, 2011, or if it does not make progress toward achieving compliance consistent with its plan during this period, the NYSE will initiate delisting proceedings.
The NYSE has advised HGI that, within five days of the date of its August 3, 2010 notice, the NYSE will use the trading symbol extension ".BC" (generally used to denote non-compliance with the NYSE's quantitative listing standards) to denote HGI's qualitative non-compliance. This indicator will not change HGI's trading symbol itself, but will be disseminated as an extension of its symbol on the NYSE whenever its trading symbol is transmitted with a quotation or trade.
About Harbinger Group Inc.:
Harbinger Group Inc. is a holding company with approximately $144.8 million in consolidated cash, cash equivalents and investments as of June 30, 2010. The Company's principal focus is to identify and evaluate business combinations or acquisitions of businesses. The Company continues to review acquisitions and business combination proposals with the assistance of its advisors. The Company currently owns 98% of Zap.Com Corporation, a public shell company. The Company makes certain reports available free of charge on its website at http://www.harbingergroupinc.com as soon as reasonably practicable after this information is electronically filed, or furnished to, the United States Securities and Exchange Commission.
"Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995: The statements contained in this press release which are not historical fact are forward-looking statements based upon management's current expectations that are subject to risks, and uncertainties that could cause actual results, events and developments to differ materially from those set forth in or implied by forward-looking statements. Forward-looking statements, which are based upon certain assumptions and describe future plans, strategies and expectations of the Company, are generally identifiable by use of the words "believes," "expects," "intends," "anticipates," "plans," "seeks," "estimates," "projects," "may" or similar expressions. Factors that could cause actual results, events and developments to differ include, without limitation, the risk that we may not be successful in identifying any suitable future acquisition opportunities and those factors listed under the caption "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2009. All forward-looking statements made herein are qualified by these cautionary statements and there can be no assurance that the actual results, events or developments referenced herein will occur or be realized. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operation results.
SOURCE: Harbinger Group Inc.
Rubenstein Associates Charles V. Zehren, 212-843-8590 czehren@rubenstein.com or Ming Lee Hatch, 212-843-8019 mhatch@rubenstein.com or Harbinger Group Inc. Francis McCarron, CFO, 212-906-8560 http://www.harbingergroupinc.com