The Nasdaq Stock Market has warned Daily Journal Corp. that it is out of compliance with the exchange’s listing requirements because of the company’s delay in filing its year-end report with regulators.
The downtown L.A. publisher of legal newspapers and websites said Tuesday that it expected the warning, and had been given until March 17 to submit a plan to getting back in to compliance. The company expects to be able to meet that deadline.
The company, whose chairman is billionaire Charles Munger said on Dec. 31 that Ernst & Young had not completed an audit of financial statements for the fiscal year ended Sept. 30. Because Daily Journal shares have more than doubled in the past year, the company no longer qualifies as smaller reporting company with up to 90 days to file its year-end report. The company now has a tighter 75-day window to meet because the U.S. Securities and Exchange Commission now considers it an “accelerated filer.”
Shares on Tuesday closed up $19.85, or 12 percent, to $191.85 on the New York Stock Exchange.