Published: Wednesday, November 25, 2009
Frontier adopts reverse stock split
Frontier Financial Corporation approved a one-for-ten reverse stock split Wednesday, a move that will allow the Everett-based company to continue trading on the NASDAQ stock exchange.
The holding company of Frontier Bank adopted the last-resort measure after NASDAQ officials sent a warning letter saying the company's shares registered below $1 for 30 consecutive business days. Those low prices mean the bank is out of compliance with the exchange's minimum share price.
Early October was the last time Frontier's stock traded above $1.
The reverse stock split means every ten shares of Frontier stock is now combined to one share. The decision reduces the bank's common stock from approximately 47 million shares to 4.7 million shares, according to a statement from the bank.
The split will be effective at 5 p.m. today, Frontier officials said.
The holding company of Frontier Bank adopted the last-resort measure after NASDAQ officials sent a warning letter saying the company's shares registered below $1 for 30 consecutive business days. Those low prices mean the bank is out of compliance with the exchange's minimum share price.
Early October was the last time Frontier's stock traded above $1.
The reverse stock split means every ten shares of Frontier stock is now combined to one share. The decision reduces the bank's common stock from approximately 47 million shares to 4.7 million shares, according to a statement from the bank.
The split will be effective at 5 p.m. today, Frontier officials said.
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