Summary
MercadoLibre, Inc. (MELI) filed an 8-K report on May 26, 2009, to address a temporary suspension of new car listings on its Venezuelan website, tucarro.com.ve. The suspension, initially disclosed in the company's Form 10-Q filing on May 11, 2009, was initiated by Venezuela's Consumer Protection Agency (INDEPABIS) as part of an investigation into car dealer listings. This event could have impacted revenue streams related to vehicle sales in Venezuela. Fortunately for investors, the company announced that the suspension has been lifted as of May 26, 2009. Full functionality of tucarro.com.ve has been restored, allowing new car listings to be posted again. While there are no further administrative proceedings pending at this time, the company notes that future proceedings cannot be entirely ruled out.
Key Highlights
- 1Temporary suspension of new car listings on tucarro.com.ve in Venezuela was lifted on May 26, 2009.
- 2The suspension was imposed by Venezuela's Consumer Protection Agency (INDEPABIS) due to an investigation into car dealer listings.
- 3The issue was initially disclosed in MELI's Form 10-Q filed on May 11, 2009.
- 4Full functionality of the tucarro.com.ve website has been restored.
- 5No further administrative proceedings are currently pending related to this matter.
- 6The company cautions that future proceedings cannot be guaranteed to be avoided.