SOURCE: Channell Commercial Corporation

April 03, 2007 16:15 ET

Channell Receives Letter From Nasdaq Regarding Independent Director Requirements

TEMECULA, CA -- (MARKET WIRE) -- April 3, 2007 -- Channell Commercial Corporation (NASDAQ: CHNL), a designer and manufacturer of telecommunications equipment supplied to operators of communications networks worldwide and water harvesting solutions distributed in markets throughout Australia, today announced that on March 30, 2007, the Company received a letter from the Nasdaq Stock Market ("Nasdaq") notifying the Company that it no longer complies with the majority independent director and audit committee requirements as set forth in Nasdaq Marketplace Rule 4350, as a result of the resignation of David Iannini from the Board of Directors of the Company. As previously announced, David Iannini, who was one of the Company's independent directors and a member of the Company's audit committee, resigned from the Board of Directors because he recently joined a financial services firm, and his position with that firm will require a substantial devotion of his time and attention. Consistent with Nasdaq Marketplace Rules 4350(c)(1) and 4350(d)(4), Nasdaq is providing the Company a cure period to regain compliance as follows:

--  until the earlier of the Company's next annual shareholders' meeting
    or March 21, 2008; or
--  if the next annual shareholders' meeting is held before September 17,
    2007, then the Company must evidence compliance no later than September 17,
    2007.
    
Since the Company intends to hold its next annual shareholders' meeting before September 17, 2007, the Company has until September 17, 2007 to regain compliance. The Company fully intends to regain compliance with Nasdaq Marketplace Rule 4350 within the allotted cure period.

About Channell

Channell Commercial Corporation is a designer and manufacturer of telecommunications equipment supplied to communications network operators worldwide and water storage tanks distributed in markets throughout Australia. Major product lines include a complete line of thermoplastic and metal fabricated enclosures, advanced copper termination and connectorization products, fiber-optic cable management systems and polyethylene water storage tanks. The Company's headquarters and U.S. manufacturing facilities are in Temecula, California. International operations include facilities in Toronto (Canada), London (U.K.) and various locations throughout Australia. The Company's website is www.channell.com

Forward-Looking Statements

This news release contains statements that are not historical in nature and that may be characterized as "forward-looking statements" within the meaning of the securities laws. These statements are based on management's current expectations, are neither promises nor guarantees, and are subject to a number of uncertainties and risks that could cause a failure to comply with these forward-looking statements. For a detailed discussion of such risks and uncertainties, please see the Company's filings with the Securities and Exchange Commission, which you are encouraged to review in connection with this release. You should not place undue reliance on any such forward-looking statements in this press release, which are current only as of the date when made, and you should not expect that these forward-looking statements will be updated or supplemented as a result of changing circumstances or otherwise.

Contact Information

  • CONTACT:
    At the Company:
    Michael Perica
    Treasurer
    951-719-2600
    Email Contact