(Direct Newsline) Multititle mailer Hanover Direct has been notified by the American Stock Exchange that it is in violation of a listing ruling by failing to show a net profit or a profit from continuing operations for at least one of the last three years.
The cataloger was asked to submit a plan due Dec. 11, specifying the steps it would take to regain compliance by Dec. 28, 2003, the company said in papers filed with the Federal Trade Commission.
Hanover was last profitable in 1994. During fiscal 2001 and 2000 the company reported net losses of $16.6 million and $84.8 million respectively. The company’s fiscal 2002 year ends at the end of the calendar year. Hanover’s titles include home furnishings catalogs The Company Store and Domestications and apparel books Silhouettes and International Male.
The Exchange Listings Qualification Department will evaluate the plan and issue a ruling within a month and a half after it is submitted as to whether Hanover has demonstrated the necessary steps to remain on the Exchange.