Nasdaq Delisting for RHI

NEW YORK: In an SEC filing, RHI Entertainment has announced that it won’t attempt to stop its Nasdaq delisting, prompted by its stockholder equity falling below $10 million, and has also revealed that Joel Denton has left the company as part of a restructuring to save costs.

In yesterday’s filing, RHI said that it had received notification from Nasdaq on May 20 that it no longer meets the $10 million stockholders’ equity requirement. In addition, the company has failed to meet the minimum bid price of $1 for 30 consecutive business days. RHI says it is not submitting a compliance plan in order to remain listed; as such, RHI’s common stock will be suspended from trading on June 1.

RHI also reveals in the SEC filing that Joel Denton, president of production and distribution, was let go April 30 as "part of the company’s ongoing restructuring process, which includes certain significant organizational changes and cost savings." Denton’s termination agreement includes a one-time severance payment of £648,343 ($902,207). "Mr. Denton’s termination did not result from any disagreements with the company on any matter relating to the company’s operations, policies or practices," RHI said.