Full Press Release Details
Receives Notice of Intention to Delist from AMEX
RIVER EDGE, NJ- January 14, 2009
--- Nephros, Inc. (AMEX: NEP), a medical device company developing and
marketing filtration products for therapeutic applications, infection control,
and water purification, today announced that it has received notice from the
NYSE Alternext US LLC (formerly, the American Stock Exchange or "AMEX" or the
"Exchange"), regarding AMEX's intention to delist the Company's common stock due
to noncompliance with certain continued listing standards.
Company previously received a letter from AMEX dated September 12, 2008
notifying it of noncompliance with certain continued listing
standards. In response to that letter, the Company submitted a plan
of compliance to the AMEX on October 13, 2008 advising AMEX of the actions the
Company has taken, or will take, that would bring it into compliance with the
continued listing standard identified above by April 30, 2009.
January 8, 2009, the Company received a letter from AMEX notifying the Company
that it was rejecting the plan. The letter further notified the
Company that it is in noncompliance with the Exchange's Company Guide Section
1003(a)(iii), which states AMEX will normally consider suspending dealings in,
or removing from the list, securities of an issuer which has stockholders'
equity of less than $6,000,000 if such issuer has sustained net losses in its
five most recent fiscal years. The letter also said that the Company
was in noncompliance with Company Guide Section 1003(a)(ii), which states AMEX
will normally consider suspending dealings in, or removing from the list,
securities of an issuer which has stockholders' equity of less than $4,000,000
if such issuer has sustained net losses in its three of its four most recent
fiscal years. Finally, the letter also said that the Company was in
noncompliance with Company Guide Section 1003(f)(v), which states AMEX will
normally consider suspending dealings in, or removing from the list, common
stock that sells for a substantial period of time at a low price per
further notified the Company that the Exchange intends to strike the common
stock from AMEX by filing a delisting application with the Securities and
Exchange Commission pursuant to Rule 1009(d) of the Exchange's Company
turmoil in the capital markets, the Company has decided to not seek an appeal of
AMEX's intention to delist its common stock. The Company has
identified a market maker who has agreed to apply for the registration and
quotation of the Company's common stock on the OTC Bulletin Board, which the
Company expects would be effective immediately after the delisting from
expected that the delisting of the common stock from AMEX would be effective in
the first half of February 2009.
Inc., headquartered in New Jersey, is a medical device company developing and
marketing filtration products for therapeutic applications, infection control,
and water purification.
Nephros hemodiafiltration ("HDF") system is designed to improve the quality of
life for the End-Stage Renal Disease (ESRD) patient while addressing the
critical financial and clinical needs of the care provider. ESRD is a disease
state characterized by the irreversible loss of kidney function. The Nephros HDF
system removes a range of harmful substances more effectively, and with greater
capacity, than existing ESRD treatment methods, particularly with respect to
substances known collectively as "middle molecules." These molecules have been
found to contribute to such conditions as dialysis-related amyloidosis, carpal
tunnel syndrome, degenerative bone disease and, ultimately, mortality in the
ESRD patient. Nephros ESRD products are sold and distributed throughout Europe
and are currently being used in over fifty clinics in Europe.
Nephros Dual Stage Ultrafilter (DSU) is the basis for Nephros's line of water
filtration products. The patented dual stage cold sterilization ultrafilter has
the capability to filter out bacteria and, due to its exceptional filtration
levels, filter out many viruses, parasites and biotoxins. The DSU is in
pilot-use programs at several major U.S. medical centers for infection control
and has been selected for further development by the U.S. Marine Corps for
purification of drinking water by soldiers in the field.
information on Nephros, please visit its website at
in this news release that are not historical facts constitute "forward-looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995 (the "PSLRA"). Such statements may be preceded by words such as "may,"
"plans," "expects," "believes," "hopes," "potential" or similar words. For such
statements, Nephros claims the protection of the PSLRA.
statements are not guarantees of future performance, are based on assumptions
and are subject to various known and unknown risks and uncertainties, many of
which are beyond Nephros's control. Actual results may differ materially from
the expectations contained in the forward-looking statements. Factors that may
cause such differences include the risks that Nephros may not be able: (i) to
maintain compliance with the AMEX's continued listing standards; (ii) to obtain
funding if and when needed or on favorable terms; (iii) to continue as a going
concern; (iv) to demonstrate in pre-clinical or clinical trials the anticipated
efficacy, safety or cost savings of products that appeared promising to Nephros
in research or clinical trials; (v) to obtain appropriate or necessary
governmental approvals to achieve its business plan or effectively market its
products; (vi) to have its technologies and products accepted in current or
future target markets; or (viii) to secure or enforce adequate legal protection,
including patent protection, for its products. More detailed information about
Nephros and the risk factors that may affect the realization of forward-looking
statements is set forth in Nephros's filings with the SEC, including Nephros's
Annual Report on Form 10-KSB filed with the SEC for the fiscal year ended
December 31, 2007, and Nephros's Quarterly Report on Form 10-Q for the periods
ended September 30, 2008. Investors and security holders are urged to read these
documents free of charge on the SEC's website at http://www.sec.gov/. Nephros
does not undertake to publicly update or revise its forward-looking statements
as a result of new information, future events or otherwise.
Gerald J. Kochanski, CFO at 201. 343. 5202 ext 102.