Playboy May be Delisted by NYSEApril 28, 2009 Reported April 21st, 2009 by Crain's Chicago Business. Playboy Enterprises, Inc. was told Tuesday its shares have failed to meet the New York Stock Exchange’s listing requirements. The publisher of Playboy magazine has had an average market capitalization below $75 million over the past 30 trading days and less than $75 million in shareholders’ equity. Both thresholds must be met to be listed on the NYSE. Chicago-based Playboy has said it will submit a plan within 45 days detailing how it will raise both its market capitalization and shareholders’ equity over the next 18 months to meet the requirements. The company’s shares, which fell 13 cents on Monday to close at $2.08, will remain listed on the NYSE if its plan is accepted. Playboy’s stock has fallen 76% in the past year as the multimedia company struggles to make money in the face of shrinking advertising revenue. It posted a $156-million loss last year, which included $153 million in asset impairment and restructuring charges. It has made aggressive cost cuts in recent months, including consolidating offices, eliminating corporate holiday cards and choosing a less expensive paper stock for its magazine. Christie Hefner daughter of founder Hugh Hefner, stepped down as CEO in January. Jerome Kern, a consultant and former head of California-based telecom On Command Corp., is interim CEO as the company looks for a successor to Ms. Hefner. |
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