8-KSecurities & ListingExhibits & Filings

Monster Beverage Corp 8-K Report, Listing Notice (Jan 17, 2007)

Filed January 17, 2007For Securities:MNST

Summary

Hansen Natural Corporation (now Monster Beverage Corp.) filed an 8-K on January 17, 2007, reporting on its continued non-compliance with Nasdaq listing rules. The company received an Additional Staff Determination letter on January 10, 2007, indicating that its failure to regain compliance with Nasdaq Marketplace Rule 4350(i)(1)(A) provides an additional basis for delisting from the Nasdaq Capital Market. This issue has been referred to the same Nasdaq Listing Qualifications Panel that is already reviewing the company's non-filing of its Form 10-Q for the period ending September 30, 2006. Hansen Natural Corporation is actively working with Nasdaq staff to resolve the Rule 4350 matter as quickly as possible, in conjunction with the scheduled Panel hearing. Investors should monitor developments regarding Nasdaq compliance and potential delisting risks, although the company is pursuing resolution.

Key Highlights

  • 1Hansen Natural Corporation received a Nasdaq Additional Staff Determination letter on January 10, 2007.
  • 2The letter states that the company's failure to regain compliance with Nasdaq Marketplace Rule 4350(i)(1)(A) is an additional basis for delisting.
  • 3This non-compliance issue has been referred to the Nasdaq Listing Qualifications Panel.
  • 4The Panel is the same one reviewing the company's prior non-filing of its Form 10-Q for the period ending September 30, 2006.
  • 5The company is actively working with Nasdaq staff to resolve the Rule 4350 matter expeditiously.
  • 6Resolution efforts are being coordinated with the upcoming Panel hearing.

Frequently Asked Questions

The main issue is that Hansen Natural Corporation received notification from Nasdaq that its continued failure to comply with Nasdaq Marketplace Rule 4350(i)(1)(A) provides an additional reason for potentially delisting the company's securities from the Nasdaq Capital Market.

The company has been notified that its non-compliance serves as an 'additional basis for delisting.' The matter has been referred to a Nasdaq Listing Qualifications Panel for review. The company is actively seeking to resolve these issues with Nasdaq staff to avoid delisting.

The filing does not specify the exact requirements of Rule 4350(i)(1)(A). However, it is related to continued listing standards on the Nasdaq Stock Market. The company has acknowledged potential inadvertent violations and is working to regain compliance.

This situation is linked to a prior Nasdaq Staff Determination Letter regarding the company's non-filing of its Form 10-Q for the period ending September 30, 2006. Both issues have been referred to the same Nasdaq Listing Qualifications Panel.