NASHVILLE, Tenn., Aug. 23, 2017 (GLOBE NEWSWIRE) -- First Acceptance Corporation (NYSE:FAC) announced that on August 17, 2017 it received notice from the New York Stock Exchange, Inc. (“NYSE”) that it does not presently satisfy the NYSE’s continued listing standard requiring the average closing price of the Company’s common stock be at least $1.00 per share over a consecutive 30 trading-day period. As of August 14, 2017, the average closing price of the security over a 30 trading-day period was $0.99.
This notice has no immediate impact on the listing of the Company’s common stock. Under the NYSE rules, the Company has six months from receipt of the NYSE Notice to regain compliance with the minimum share price rule. In accordance with the NYSE rules, the Company will respond to the notice with ten business days of its receipt.
The Company will actively monitor its stock price and evaluate all available options in order to regain compliance within the prescribed six-month time frame. During this period, the Company’s common stock will continue to be listed and traded on the NYSE, subject to compliance with other listing standards.
This deficiency does not affect the Company’s ongoing business operations or its SEC reporting requirements.
About First Acceptance Corporation
We are principally a retailer, servicer and underwriter of non-standard personal automobile insurance based in Nashville, Tennessee. Our insurance operations generate revenues from selling non-standard personal automobile insurance policies and related products in 16 states. We currently conduct our servicing and underwriting operations in 13 states and are licensed as an insurer in 13 additional states. Non-standard personal automobile insurance is made available to individuals because of their inability or unwillingness to obtain standard insurance coverage due to various factors, including payment history, payment preference, failure in the past to maintain continuous insurance coverage or driving record and/or vehicle type.
At June 30, 2017, we leased and operated 354 retail locations and a call center staffed with employee-agents. Our employee agents primarily sell non-standard personal automobile insurance products underwritten by us, as well as certain commissionable ancillary products. In most states, our employee-agents also sell a complementary insurance product providing personal property and liability coverage for renters underwritten by us. In addition, retail locations in some markets offer non-standard personal automobile insurance serviced and underwritten by other third-party insurance carriers for which we receive a commission. In addition to our retail locations, we are able to complete the entire sales process over the phone via our call center or through the internet via our consumer-based website or mobile platform. On a limited basis, we also sell our products through selected retail locations operated by independent agents. Additional information about First Acceptance Corporation can be found online at www.acceptance.com.
This press release contains forward-looking statements. All statements made other than statements of historical fact are forward-looking statements. You can identify these statements from our use of the words “may,” “should,” “could,” “potential,” “continue,” “plan,” “forecast,” “estimate,” “project,” “believe,” “intent,” “anticipate,” “expect,” “regain,” “target,” “is likely,” “will,” “view,” or the negative of these terms and similar expressions. These statements, which have been included in reliance on the “safe harbor” provisions of the federal securities laws, involve risks and uncertainties. Investors are hereby cautioned that these statements may be affected by important factors, including, among others, the factors set forth under the caption “Risk Factors” in Item 1A. of our Annual Report on Form 10-K for the year ended December 31, 2016 and in our other filings with the Securities and Exchange Commission. Actual operations and results may differ materially from the results discussed in the forward-looking statements. Except as required by law, we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise.
INVESTOR RELATIONS CONTACT:
Michael J. Bodayle
First Acceptance Corporation