Lazare Kaplan Sales Up, Not Filing Reports

New York diamond manufacturer Lazare Kaplan International
once again filed an incomplete financial report April 14, although the company reported
its third quarter sales were up.

The company noted in its SEC filing it can’t file a report
because it remains unable to resolve a material uncertainty concerning the collectability
and recovery of certain assets, and the company’s potential obligations under
certain credit lines.   

These material uncertainties have also rendered the company
unable to finalize its 2009 and 2010 financial statements, and eventually caused
its delisting from NASDAQ
.  LKI
further warned that they have “adversely impacted the Company’s ability to
transact business.”

Otherwise, the company noted while there were “improving
trends” in the diamond and jewelry industry, “uncertain economic conditions”
have also had an impact.

Don’t miss a story! Subscribe to JCK’s e-newsletter here.