OAKLAND, Calif., Oct. 16, 2012 (GLOBE NEWSWIRE) -- Scientific Learning Corp. (Nasdaq:SCIL), a leading provider of technologies for accelerated learning, today announced it received a letter from the Listing Qualifications Department of the NASDAQ Stock Market (NASDAQ) notifying Scientific Learning of its intent to delist the Company's securities from the NASDAQ, effective at the opening of business on October 18, 2012.
In April, Scientific Learning announced that it received a letter from NASDAQ stating that (i) the Company was no longer in compliance with Marketplace Rule 5450(b)(2)(A), for the NASDAQ Global Stock Market, which requires that the market value of the Company's Common Stock be at least $50,000,000, and (ii) as provided in the NASDAQ rules, the Company had 180 calendar days, or until Oct 8, 2012, to regain compliance. In order to regain compliance in this period, the market value of the Company's common stock would have had to have been $50,000,000 or more for a minimum of 10 consecutive business days.
Scientific Learning has the right to appeal NASDAQ staff's determination to suspend trading in its securities and its delisting and deregistration from NASDAQ by submitting a hearing request no later than 4:00pm Eastern time on October 16, 2012, but does not expect to do so.
Effective Thursday, October 18, 2012 the Company anticipates that its common stock will trade under its current symbol, SCIL, on the OTC Bulletin Board.
"While we are disappointed that we no longer meet the market capitalization requirements to remain listed on NASDAQ, this change in trading venue has no impact on our business. We remain focused on sales execution and aligning costs," said Bob Bowen, Chairman and CEO. "Our goal is to be cash flow positive from operations in 2013."
About Scientific Learning Corporation
We accelerate learning by applying proven research on how the brain learns. Scientific Learning's results are demonstrated in over 250 research studies and protected by over 55 patents. Learners can realize achievement gains of up to two years in as little as three months and maintain an accelerated rate of learning even after the programs end.
Today, learners have used over three million Scientific Learning software products. We provide our offerings directly to parents, K-12 schools and learning centers, and in more than 40 countries around the world. For more information, visit www.scientificlearning.com or call toll-free 888-358-0212.
This press release contains forward-looking statements that are subject to the safe harbor created by the federal securities laws. Such statements include, among others, statements relating to the potential delisting of the Company's common stock from the NASDAQ stock market, the potential listing of its common stock on the OTC Bulletin Board, the Company's plans not to submit a hearing request to appeal NASDAQ's delisting determination, the Company's plans relating to sales execution and cost alignment and its goals to become cash flow positive. Such statements are subject to substantial risks and uncertainties. Actual events or results may differ materially as a result of many factors, including but not limited to: the willingness of one or more market makers to quote the Company's common stock on the OTC Bulletin Board; the general economic and financial conditions (including current adverse conditions in government budgets and the general economy); availability of funding to purchase the Company's products and generally available to schools, including the amount and duration of federal stimulus funding; the acceptance of new products and product changes in existing and new markets; acceptance of subscription and other recurring offerings; seasonality and sales cycles in Scientific Learning's markets; competition; the extent to which the Company's marketing, sales and implementation strategies are successful; personnel changes; the Company's ability to continue to demonstrate the efficacy of its products, and other risks detailed in the Company's SEC reports, including but not limited to the Company's Annual Report on Form 10-K for the year ended December 31, 2011 (Part I, Item 1A, Risk Factors), filed March 30, 2012 and its Quarterly Report on Form 10-Q for the quarter ended June 30, 2012 (Part II, Item 1A, Risk Factors), filed August 14, 2012. The Company disclaims any obligation to update information contained in these forward-looking statements, whether as a result of new information, future events, or otherwise.
CONTACT: Media Contact: Jessica Lindl Senior Vice President of Marketing and Inside Sales Scientific Learning Corporation (510) 625-6784 firstname.lastname@example.org Investor Contact: Jane A Freeman Chief Financial Officer (510) 625-6710 email@example.com firstname.lastname@example.orgSource:Scientific Learning Corporation