NYSE drops National R.V. listing.
The New York Stock Exchange announced Wednesday that it would stop listing National R.V. Holdings Inc., the financially troubled parent company of Country Coach Inc., and move the company to an electronic stock exchange it owns called NYSE Arca Exchange.
The move comes nearly a year after the NYSE notified National R.V. that it no longer met its market capitalization and stockholders' equity criteria required for continued listing. The exchange has been monitoring the company's performance since then, but its fortunes have not improved.
The company's stock closed at $3.18 per share Wednesday before the news was announced. During the past year, National R.V. stock reached a high of $7.05 per share, which was attained last February. But the stock has declined steadily since March, dropping below $4 a share on Aug. 23, and reaching a 52-week low of $2.94 per share on Sept. 6.
The move to the new exchange is scheduled to occur Friday. National R.V. CEO Brad Albrechtsen said in a statement that company officials were "pleased to have an opportunity to continue our relationship with the New York Stock Exchange and list our common stock on NYSE Arca."
The company will retain its ticker symbol, NVH.
National R.V.'s common stock has traded on the New York Stock Exchange since December 1998.
A National R.V. news release said the company applied to move its listing to NYSE Arca because it wasn't meeting the NYSE's listing criteria.
NYSE Arca used to be an independent electronic trading exchange called the Archipelago Exchange, based in Chicago.
Last March, the NYSE purchased Archipelago Holdings and the affiliated Pacific Exchange for $9 billion and transformed itself into a for-profit public company called NYSE Group Inc, trading under the ticker symbol NYX, according to a report in the San Francisco Chronicle.
The move off New York Stock Exchange is the latest sign of National R.V.'s financial struggles.
The company, based in Perris, Calif., has lost $77.2 million since September 2001, posting red ink in 16 of 20 quarters. Through the second quarter of this year, National R.V. has lost $9.2 million.
The company builds RVs under two separately operated divisions: National R.V., based in Perris, and Country Coach, which employs about 1,800 workers in Junction City, making it one of Lane County's largest private employers.
National R.V. executives have said Country Coach is profitable and its factory has been running at full capacity. The National R.V. division, on the other hand, has struggled, laying off employees and operating at less than full capacity.
The latest blow came this year when a supplier provided allegedly bad fiberglass siding for National R.V. coaches, and the company was forced to repair about 70 motor homes, costing about $5 million.
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|Title Annotation:||Business; The parent company for Junction City's Country Coach Inc. will instead be traded on the electronic Arca Exchange|
|Publication:||The Register-Guard (Eugene, OR)|
|Date:||Oct 12, 2006|
|Previous Article:||ART NOTES.|