JACKSONVILLE, Fla., April 14 /PRNewswire-FirstCall/ -- Phlo Corporation (Pink Sheets: PHCP) (the "Company") clarified today that "pre-reverse split" Phlo common stock certificates are negotiable in connection with market transactions and are a valid representation of a holder's current position in Phlo common stock. This clarification was issued in response to information from shareholders that a number of brokers and clearing firms will not negotiate Phlo common stock certificates issued prior to Phlo's 1-for-100 reverse split of its capital stock until such certificates are exchanged for "post-reverse split" certificates.
Although shareholders will receive a request from the Company to surrender their certificates to the transfer agent in exchange for new certificates reflecting the reverse split, this step is NOT required in order to negotiate shares represented by a pre-reverse split certificate. When any pre-reverse split certificate is sent to Phlo's transfer agent for re-registration, the transfer agent automatically re-issues the shares on a post-reverse split basis using certificates bearing the new CUSIP.
Phlo is advised that a number of brokers and clearing firms have submitted all pre-reverse split certificates in their vaults to Phlo's transfer agent in exchange for post-reverse split certificates. However, this step is not required. Shareholders who encounter any difficulty with this process should have their broker contact Phlo directly.
The Company completed its 1-for-100 reverse stock split process on February 5, 2008. On that date, by operation of law and without any action by any person, certificates representing shares of Phlo common stock automatically represented 1/100th of the number of shares set forth on such certificates.
Nasdaq began reflecting the reverse split in the quotation of the price
of the Company's common stock in the public market beginning on or about
March 19 and assigned the Company's new tr
|SOURCE Phlo Corporation|
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