The listed company Midelfart Sonesson AB (“Midelfart”) has contravened the
rules that apply at OMX Nordic Exchange Stockholm by failing to handle
price-sensitive information in the correct manner. The Exchange's Disciplinary
Committee has ruled that Midelfart must pay a fine corresponding to two annual
fees, totaling SEK 384,000.
In accordance with OMX Nordic Exchange Stockholm's listing agreement, all
information affecting the valuation of the company's share to a non-immaterial
degree must be disclosed immediately.
In an arbitration ruling announced on July 20, 2007, a subsidiary of Midelfart
was ordered to pay SEK 17 million. Midelfart, which was notified of the
arbitration ruling on July 21, 2007, did not submit any public information
regarding the transaction until August 23, 2007, when the company presented its
interim report.
The Disciplinary Committee has concluded that in the interim report the amount
adjudicated by arbitration was reported as a nonrecurring charge for the second
quarter of 2007 and that Midelfart reported an operating loss of SEK 16 million
for that quarter. In light of this, the outcome of the arbitration ruling must
be considered of material significance to the valuation of the company's share.
It is worth noting that the arbitration ruling was included in the interim
report as a significant event after the end of the period.
Accordingly, information concerning the arbitration ruling should have been
disclosed immediately upon the company learning of the judgment. By failing to
do so, Midelfart has contravened the rules and regulations of the listing
agreement. This remains true despite the information Midelfart had provided
concerning the arbitration in its annual reports for 2005 and 2006.
The Disciplinary Committee sentences Midelfart to a fine corresponding to two
annual fees, which totals SEK 384,000.
For further information:
Jonas Rodny, OMX Nordic Exchange Stockholm +46 (0)8-405 72 67
About the Disciplinary Committee | The role of OMX Nordic Exchange in
Stockholm's Disciplinary Committee is to consider suspicions regarding whether
Exchange Members, brokers or listed companies have breached the rules and
regulations applying on the Exchange. If the Exchange suspects that a member,
broker or listed company has acted in breach of the Exchange's rules and
regulations, the matter is reported to the Disciplinary Committee. The Exchange
investigates the suspicions and pursues the matter and the Disciplinary
Committee issues a ruling regarding possible sanctions. The sanctions possible
for listed companies are a warning, a fine or delisting. The fines that may be
imposed range from one to 15 annual fees. The sanctions possible for Exchange
Members are a warning, a fine or debarment, while brokers may be warned or have
their brokerage license rescinded. The Disciplinary Committee's Chairman and
Deputy Chairman must be lawyers with experience of serving as judges. At least
two of the other members of the Committee must have in-depth insight into the
workings of the securities market.
Members: Supreme Court Justice Johan Munck (Chairman), Supreme Court Justice
Marianne Lundius (Deputy Chairman), Madeleine Leijonhufvud (professor), Stefan
Erneholm (company director) and Hans Mertzig (company director). Deputy Members:
Hans Edenhammar (MBA), Claes Beyer (lawyer), Jack Junel (company director),
Ragnar Boman (MBA) and Carl Johan Högbom (MBA).
About OMX | OMX is a leading expert in the exchange industry. The OMX Nordic
Exchange comprises over 800 companies including its alternative market First
North. OMX provides technology to over 60 exchanges, clearing organizations and
central securities depositories in over 50 countries. The Nordic Exchange is not
a legal entity but describes the common offering from OMX exchanges in Helsinki,
Copenhagen, Stockholm, Iceland, Tallinn, Riga, and Vilnius. OMX is a Nordic
Large Cap company in the Financials sector on the OMX Nordic Exchange. For more
information, please visit www.omxgroup.com.
