Charles & Colvard Gets Delisting Notice

By Anthony DeMarco -- JCK Online, 10/1/2008 2:00:00 AM

Charles & Colvard, the manufacturer of moissanite, has received a notice of possible delisting from Nasdaq, as the bid price of the company's common stock has closed below the minimum $1 per share for 30 consecutive days.

Dennis M. Reed, Charles & Colvard president and chief marketing officer, told JCK that the company looks at the Nasdaq warning as a procedural issue. He said the challenge is to gain investor confidence after reporting an operating loss for the first two quarters of 2008, including a second-quarter loss of $1.6 million. He noted that the company is in a good position to turn this around.

“The company has to show investors that it can report financial profits and gain investor confidence,” Reed said. “But if you look at our balance sheet, there's no debt, and we have cash in the bank. We are positioned to move through this transitional period.”