Bidz Faces NASDAQ Delisting, Sales, Profits Down



Internet jewelry seller Bidz.com announced Aug. 16 that it has
received a letter of noncompliance from NASDAQ, informing the company that its
share price had closed below the $1 minimum for 30 consecutive trading days.

The company now has 180 calendar days to regain compliance
with the rule, which would mean having its stock close above $1 for a minimum
of ten consecutive trading days.

According to a company statement, Bidz’s management and board
of directors are considering various alternatives to address this issue.

The company also released its financial report for the
second quarter (ended June 30). Among the highlights:

  • Net revenue: $20 million, down 20 percent
  • Net loss: $5.3 million, compared to net loss of $653,000 in
    2010
  • Number of new buyers: 34,419, down 6 percent
  • Average orders per day: 1,420, down 6 percent
  • Average items sold per day: 6,160, up 0.3 percent