Express, Inc. (NYSE: EXPR) (the “Company”) announced today that
the New York Stock Exchange (NYSE) has notified the Company that it
is no longer in compliance with the NYSE’s continued listing
minimum price criteria set forth in Section 802.01C of the NYSE’s
Listed Company Manual, which requires listed companies to maintain
an average closing share price of at least $1.00 over a consecutive
30 trading-day period.
The Company received written notice of the non-compliance on
March 28, 2023. In accordance with NYSE rules, the Company has a
period of six months from receipt of the notice to regain
compliance with the NYSE’s continued listing minimum price
criteria. The notice has no immediate impact on the listing of the
Company’s common stock, which will remain listed and traded on the
NYSE during this period, subject to the Company’s compliance with
the other continued listing requirements of the NYSE.
Under NYSE rules, the Company can regain compliance at any time
during the six-month cure period if on the last trading day of any
calendar month during the cure period the Company’s common stock
has (i) a closing share price of at least $1.00 and (ii) an average
closing share price of at least $1.00 over the 30 trading-day
period ending on the last trading day of that month.
In accordance with the NYSE’s rules, the Company plans to
formally notify the NYSE of its intent to cure the deficiency,
which may include, if necessary, effecting a reverse stock split,
subject to Board and stockholder approval.
The NYSE notification does not affect the ongoing business
operations of the Company or its reporting requirements with the
Securities and Exchange Commission nor does it trigger any
violation of its debt obligations.
About EXPR
EXPR is a fashion retail company whose business includes an
omnichannel operating platform, physical and online stores, and a
multi-brand portfolio that includes Express and UpWest. The Express
brand launched in 1980 with the idea that style, quality and value
should all be found in one place. Today, Express is a brand with a
purpose - We Create Confidence. We Inspire Self-Expression. -
powered by a styling community. UpWest launched in 2019 with a
purpose to Provide Comfort for People & Planet.
The Company has approximately 540 Express retail and Express
Factory Outlet stores in the United States and Puerto Rico, the
express.com online store and the Express mobile app; and 13 UpWest
retail stores and the UpWest.com online store. EXPR is traded on
the NYSE under the symbol EXPR. For more information about our
Company, please visit www.express.com/investors and for more
information about our brands, please visit www.express.com or
www.upwest.com.
Forward-Looking
Statements
Certain statements are “forward-looking statements” made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements include
any statement that does not directly relate to any historical or
current fact and include, but are not limited to (1) guidance and
expectations, including statements regarding expected operating
margins, comparable sales, effective tax rates, interest income,
net income, diluted earnings per share, cash tax refunds,
liquidity, EBITDA, free cash flow, eCommerce demand, and capital
expenditures, (2) statements regarding expected store openings,
store closures, store conversions, and gross square footage, and
(3) statements regarding the Company's strategy, plans, and
initiatives, including, but not limited to, results expected from
such strategy, plans, and initiatives. You can identify these
forward-looking statements by the use of words in the future tense
and statements accompanied by words such as “outlook,” “indicator,”
“believes,” “expects,” “potential,” “continues,” “may,” “will,”
“should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,”
“scheduled,” “estimates,” “anticipates,” “opportunity,” “leads” or
the negative version of these words or other comparable words.
Forward-looking statements are based on our current expectations
and assumptions, which may not prove to be accurate. These
statements are not guarantees and are subject to risks,
uncertainties, and changes in circumstances that are difficult to
predict, and significant contingencies, many of which are beyond
the Company's control. Many factors could cause actual results to
differ materially and adversely from these forward-looking
statements. Among these factors are (1) changes in consumer
spending and general economic conditions; (2) the COVID-19 pandemic
and any future impact on our business operations, store traffic,
employee availability, financial condition, liquidity and cash
flow; (3) geopolitical risks, including impacts from the ongoing
conflict between Russia and Ukraine and increased tensions between
China and Taiwan; (4) our ability to operate our business
efficiently, manage capital expenditures and costs, and obtain
financing when required; (5) our ability to identify and respond to
new and changing fashion trends, customer preferences, and other
related factors; (6) fluctuations in our sales, results of
operations, and cash levels on a seasonal basis and due to a
variety of other factors, including our product offerings relative
to customer demand, the mix of merchandise we sell, promotions, and
inventory levels; (7) customer traffic at malls, shopping centers,
and at our stores; (8) competition from other retailers; (9) our
dependence on a strong brand image; (10) our ability to adapt to
changing consumer behavior and develop and maintain a relevant and
reliable omni-channel experience for our customers, including our
efforts to optimize our omni-channel platform through our
partnership with WHP Global; (11) the failure or breach of
information systems upon which we rely; (12) our ability to protect
customer data from fraud and theft; (13) our dependence upon third
parties to manufacture all of our merchandise; (14) changes in the
cost of raw materials, labor, and freight; (15) supply chain or
other business disruption, including as a result of the
coronavirus; (16) our dependence upon key executive management;
(17) our ability to execute our growth strategy, EXPRESSway
Forward, including engaging our customers and acquiring new ones,
executing with precision to accelerate sales and profitability,
creating great product and reinvigorating our brand; (18) our
substantial lease obligations; (19) our reliance on third parties
to provide us with certain key services for our business; (20)
impairment charges on long-lived assets; (21) claims made against
us resulting in litigation or changes in laws and regulations
applicable to our business; (22) our inability to protect our
trademarks or other intellectual property rights which may preclude
the use of our trademarks or other intellectual property around the
world; (23) restrictions imposed on us under the terms of our
asset-based loan facility, including restrictions on the ability to
effect share repurchases; (24) changes in tax requirements, results
of tax audits, and other factors that may cause fluctuations in our
effective tax rate; (25) changes in tariff rates; (26) natural
disasters, extreme weather, public health issues, including
pandemics, fire, acts of terrorism or war and other events that
cause business interruption, and (27) risks related to our
partnership with WHP Global. These factors should not be construed
as exhaustive and should be read in conjunction with the additional
information concerning these and other factors in Express, Inc.'s
filings with the Securities and Exchange Commission. We undertake
no obligation to publicly update or revise any forward-looking
statement as a result of new information, future events, or
otherwise, except as required by law.
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version on businesswire.com: https://www.businesswire.com/news/home/20230330005661/en/
INVESTOR CONTACT Greg
Johnson VP, Investor Relations gjohnson@express.com (614)
474-4890
Express (NYSE:EXPR)
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