SUNNYVALE, Calif., Dec. 11, 2007 (PRIME NEWSWIRE) -- Applied Micro Circuits Corporation (Nasdaq:AMCC) today announced the completion of a 1-for-4 reverse stock split of all outstanding shares of its common stock. In addition, the authorized number of shares of common stock was reduced from 630 million to 375 million. The reverse stock split took effect at 11:59 pm, Eastern Time, on Monday, December 10, 2007. AMCC's common stock will begin trading on the NASDAQ Global Select Market on a split-adjusted basis when the market opens today, December 11, 2007, under the temporary trading symbol "AMCCD". The trading symbol will revert to "AMCC" after 20 trading days.
As a result of the reverse stock split, every four shares of AMCC common stock was combined and converted into one share of AMCC common stock. The reverse stock split reduced the number of shares of AMCC's common stock outstanding from approximately 264 million to approximately 66 million. Proportional adjustments were made to outstanding AMCC stock options and other equity incentive awards and the share reserves under the Company's equity incentive plans.
Registered holders of AMCC common stock will soon be mailed a letter of transmittal with instructions for the exchange of stock certificates. Stockholders with shares in brokerage accounts will be contacted by their brokers with instructions.
AMCC did not issue any fractional shares in the reverse stock split. Stockholders who would otherwise have had a fractional share are entitled to receive a cash payment instead, which has been calculated based on $2.44, the closing sales price of the Company's common stock on December 10, 2007 as reported on the NASDAQ Global Select Market.
AMCC Overview
AMCC is a global leader in network and embedded PowerPC(r) processing, optical transport and storage solutions. Our products enable the development of converged IP-based networks offering high-speed secure data, high-definition video and high-quality voice for carrier, metropolitan, access and enterprise applications. AMCC provides networking equipment vendors with industry-leading network and communications processing, Ethernet, SONET, OTN and switch fabric solutions. AMCC is also the leading vendor of high-port count SATA RAID controllers enabling low-cost, high-performance, high-capacity storage. AMCC's corporate headquarters are located in Sunnyvale, California. Sales and engineering offices are located throughout the world. For further information regarding AMCC, please visit our web site at http://www.amcc.com.
AMCC is a registered trademark of Applied Micro Circuits Corporation. The PowerPC name and logo are registered trademarks of IBM Corporation and used under license therefrom. All other trademarks are the property of their respective owners.