WESTMORELAND COAL COMPANY (NASDAQ:WLB) Files An 8-K Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of ListingItem 3.01.Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing.
On April 16, 2018, Westmoreland Coal Company (the “Company”) received a notification of deficiency from the Listing Qualifications Department of The Nasdaq Stock Market (“Nasdaq”) based on the Company’s failure to pay certain fees required by Listing Rule5250(f). Nasdaq has informed the Company that as a result of this deficiency, the Company will be delisted unless the Company appeals Nasdaq’s decision. In light of the prior Nasdaq notices described in further detail below, the Company has determined not to appeal Nasdaq’s decision and, as such, it is expected that the trading of its common stock will be suspended at the opening of business on April 25, 2018 and Nasdaq will file a Form 25-NSE with the Securities and Exchange Commission (the “Commission”), which will remove the Company’s common stock from listing and registration on The Nasdaq Global Market. The Company’s common stock may be eligible to be quoted on the OTC Bulletin Board (the “OTCBB”) or in the “Pink Sheets.” OTCBB or Pink Sheets trading may occur only if a market maker applies to quote the Company’s common stock and the Company is current in its reporting obligations under the Securities Exchange Act of 1934. Once the Company’s common stock is delisted from Nasdaq, the Company can provide no assurance that a market maker will apply to quote the common stock or that the common stock eligibility for the OTCBB or Pink Sheets will commence or be maintained. If the Company’s common stock does become eligible to be quoted on the OTCBB or Pink Sheets, we will provide notice of such eligibility.
As discussed in the Company’s Current Report on Form 8-K filed with the Commission on March 22, 2018, Nasdaq informed the Company that it would be subject to delisting upon a failure to regain compliance with (i) the minimum bid price requirement of $1.00 per share, as set forth in Nasdaq Listing Rule 5450(a)(1) and (ii) the minimum market value of publicly held shares (“MVPHS”) of $15 million, as set forth in Nasdaq Listing Rule 5450(b)(3)(C).
The Company does not believe that it will be able to regain compliance with the Nasdaq Listing Rules discussed above prior to the end of the applicable grace periods, which were September 18, 2018 for the minimum bid price and September 19, 2018 for the MVPHS requirement. As a result, the Company believes that it would have become subject to delisting for failure to comply with the Listing Rules above, even if it had paid the listing fees in compliance with Nasdaq Listing Rule5250(f).
About WESTMORELAND COAL COMPANY (NASDAQ:WLB)
Westmoreland Coal Company is an energy company. The Company operates through six segments: Coal – U.S., Coal – Canada, Coal – Westmoreland Resource Partners, LP (WMLP), Power, Heritage and Corporate. Coal – U.S. segment includes the operations of coal mines located in Montana, North Dakota, Ohio, Texas and New Mexico. Coal – Canada segment includes the operations of coal mines located in Alberta and Saskatchewan. Coal – WMLP segment includes the operations of Westmoreland Resource Partners, LP, a coal master limited partnership. Power segment includes its Roanoke Valley Power Facility (ROVA) operations located in North Carolina. Heritage segment includes the benefits the Company provides to former mining operation employees, as well as other administrative costs associated with providing those benefits and cost containment efforts. Corporate segment consists of corporate administrative expenses.