EXCO Resources, Inc. Receives Continued Listing Standard Notice from NYSE
January 20 2017 - 4:05PM
Business Wire
EXCO Resources, Inc. (NYSE:XCO) (“EXCO” or the “Company”) today
announced that on January 16, 2017, EXCO was notified by the New
York Stock Exchange (“NYSE”) of its noncompliance with continued
listing standards because the average closing price of its common
shares over a period of 30 consecutive trading days had fallen
below $1.00 per share, which is the minimum average closing price
per share required to maintain listing on the NYSE.
Under the NYSE rules, during the six-month period from the date
of the NYSE notice, EXCO can regain compliance if the price per
share of EXCO’s common shares on the last trading day of any
calendar month within such period and the 30 trading day average
price per common share for that month is at least $1.00. During
this period, subject to EXCO’s compliance with other NYSE continued
listing requirements, EXCO’s common shares will continue to be
traded on the NYSE under the symbol “XCO” but will have an added
designation of “.BC” to indicate the status of the common shares as
below compliance.
EXCO intends to notify the NYSE of its intent to cure this
noncompliance and is currently exploring its options for regaining
compliance, including a potential reverse share split. In addition,
EXCO is also currently evaluating transactions that could further
improve liquidity, primarily including the issuance of additional
indebtedness and a potential sale of its South Texas
properties.
EXCO anticipates that the reverse share split, if completed,
would cure the deficiency and the Company would regain compliance
with the NYSE continued listing requirement. If EXCO is unable to
regain compliance, the NYSE will initiate procedures to suspend and
delist EXCO’s common shares.
The NYSE notification does not affect EXCO’s business operations
or its Securities and Exchange Commission (“SEC”) reporting
requirements and does not conflict with or cause an event of
default under any of the Company’s material debt agreements.
Furthermore, the NYSE notice is not related to the NYSE continued
listing requirement that a listed company have a market
capitalization of at least $50 million. Based on the closing price
of the Company’s common stock on January 13, 2017, the last trading
day prior to the receipt of the NYSE notice, the Company’s market
capitalization was approximately $251.8 million. A reverse share
split would not be expected to affect the Company’s market
capitalization.
EXCO Resources, Inc. is an oil and natural gas exploration,
exploitation, development and production company headquartered in
Dallas, Texas with principal operations in Texas, North Louisiana
and the Appalachia region.
Additional information about EXCO Resources, Inc. may be
obtained by contacting Tyler Farquharson, EXCO’s Vice President of
Strategic Planning, acting Chief Financial Officer and Treasurer,
at EXCO’s headquarters, 12377 Merit Drive, Suite 1700, Dallas, TX
75251, telephone number (214) 368-2084, or by visiting EXCO’s
website at www.excoresources.com. EXCO’s SEC filings and press
releases can be found under the Investor Relations tab.
This release may contain forward-looking statements relating to
future financial results, business expectations and business
transactions. Actual results may differ materially from those
predicted as a result of factors over which EXCO has no control.
Such factors include, but are not limited to: EXCO’s liquidity,
sources of capital resources and ability to maintain compliance
with debt covenants, continued volatility in the oil and gas
markets, the continued listing of EXCO’s common shares on the NYSE,
the estimates of reserves, commodity price changes, regulatory
changes and general economic conditions. These risk factors are
included in EXCO’s reports on file with the SEC. Except as required
by applicable law, EXCO undertakes no obligation to publicly update
or revise any forward-looking statements.
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EXCO Resources, Inc.Tyler Farquharson, 214-368-2084Vice
President of Strategic Planningwww.excoresources.com