Contact Information: Contact: NewMarket Technology, Inc. Investor Relations ir@newmarkettechnology.com 214-722-3065 http://www.newmarkettechnology.com
NewMarket Technology, Inc. Announces Ongoing SEC Compliance, Continued Trading of NewMarket Stock and 2008 $120 Million Profitable Revenue Forecast to Remain Unchanged
| Source: NewMarket Technology, Inc.
DALLAS, TX--(Marketwire - September 2, 2008) - NewMarket Technology, Inc. (OTCBB : NMKTE ) filed
SEC Form 8-K on Thursday, August 28th to report that the Company may be
removed from quotation on the Over the Counter Bulletin Board (OTCBB) due
to Financial Industry Regulatory Authority (FINRA) Rule 6530 concerning
late filing of periodic reports. In accordance with the rule, FINRA ordered
a ticker symbol change from NMKT to NMKTE on Friday, August 22. NewMarket's
public filings are current and the Company has been in communication with
FINRA in an effort to change the Company's symbol back to NMKT.
FINRA's Rule 6530 Assessment and NewMarket's Appeal
FINRA has informed NewMarket that the 'E' was appended to the Company's
ticker to indicate that the Company has been late in its required financial
filings for a third time in twenty-four months. According to FINRA Rule
6530, three late filings in a twenty-four month period is cause for the
subject security to be ineligible for quotation on the Over the Counter
Bulletin Board (OTCBB). NewMarket management has filed a formal appeal to
overturn the FINRA Rule 6530 assessment and the Company is awaiting a
formal hearing on the matter. The Company's stock will continue to be
quoted on the OTCBB pending the outcome of the hearing.
NewMarket to Remain Fully Compliant with SEC Reporting Regulations
NewMarket is a fully reporting company in accordance with the periodic
financial reporting requirements of the United States Securities and
Exchange Commission (SEC). The Company's filings are available free of
charge at www.sec.gov. FINRA Rule 6530 only assesses the timeliness of
filings. Regardless of FINRA's ultimate response to NewMarket's appeal,
management will continue to file all quarterly financial reports with the
SEC. The Company is committed to ongoing full financial reporting both for
the sake of transparency, but also in a continuing effort to graduate to a
national exchange.
NMKT to Continue Trading Regardless of Rule 6530 Assessment
NewMarket management plans to vigorously oppose the possible removal of
NewMarket from the OTCBB quotation system. However, the OTCBB is only one
of five systems where NewMarket is currently quoted. For instance, as with
many OTCBB quoted companies, NewMarket is also quoted and trades on the OTC
system. The possible removal of NewMarket from the OTCBB quotation system
will not halt the tradability of the Company's stock. Regardless of the
success of the appeal opposing the removal of NewMarket from the OTCBB, the
Company's stock will remain tradable through most brokerages such as
E*TRADE, TD Ameritrade, Fidelity and Scottrade.
YTD Sales Momentum to Continue - AMEX or NASDAQ Move Not Affected
FINRA's late filing policies, specifically FINRA Rule 6530, are targeted at
OTCBB quoted securities and their actions towards NewMarket are based
solely on their assertion that the Company was tardy in its filings. The
Company is continuing its business plan, regardless of the outcome of
FINRA's assessment. Notably, a removal from the OTCBB quotation system
would not prohibit the Company from qualifying and moving to an exchange
such as the AMEX or NASDAQ. The Company recently reported its year-to-date
financial results with the best results in the Company's history. The
Company continues to grow revenue and improve margins year on year and
quarter on quarter. Management conducted a Webcast for shareholders to
review the record year-to-date results as well as record 2008 sales
momentum and outlook for the remainder of the year. The Webcast has been
archived and is available for review through the Company's corporate
Website Investor Relations page at
www.newmarkettechnology.com/investor-relations.htm under "Current Events
and Communications" or by going to:
http://www.vcall.com/IC/CEPage.asp?ID=133305.
Additional Details Regarding Recent FINRA Actions and NewMarket's Response
The Company plans to issue additional updates to shareholders as
discussions with FINRA progress. The CEO of NewMarket Technology, Inc.,
Philip Verges has provided additional background and commentary regarding
the FINRA action against NewMarket in a letter to shareholders. The letter
is available by contacting the Company at ir@newmarkettechnology.com.
Corporate Information and E-mail Updates
To learn more about NewMarket Technology's global technology services,
please contact sales@newmarkettechnology.com or 972-386-3372. To be added
to NewMarket Technology's e-mail database to receive company updates or to
obtain more information on the Company, please send an e-mail to
ir@newmarkettechnology.com or call 214-722-3065.
About NewMarket Technology, Inc. (www.newmarkettechnology.com)
NewMarket helps clients maintain the delicate balance between maintaining
legacy systems and gaining a competitive edge from the latest technology
innovations. NewMarket provides certified systems integration and
maintenance services to support the prevailing industry standard solutions
from companies such as Microsoft, Oracle, Infor, Cisco Systems, SAP, Siebel
and Sun Microsystems. Concurrently, NewMarket continuously seeks to acquire
emerging technology assets to incorporate into an overall product portfolio
carefully packaged to complement the prevailing industry standard
solutions.
NewMarket delivers its portfolio of products and services through its
network of Solution Integration subsidiaries in North America and the
leading emerging markets around the world to include Latin America, China
and Singapore.
NewMarket ranked Number One in Texas, Number Three in the United States and
Number Five in North America on Deloitte's 2006 Technology Fast 500, a
ranking of the 500 fastest growing technology, media, telecommunications
and life sciences companies in North America. Rankings are based on
percentage revenue growth over five years, from 2001-2005. The Company grew
from less than $1 million in revenue in 2001 to over $50 million in
profitable revenue in 2005.
The company has continued its rapid growth, reporting $77.6 million in
revenue with a net income of $5.8 million in 2006 and most recently $93.1
million in revenue with a net income of $7.3 million in 2007.
"SAFE HARBOR STATEMENT" UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT
OF 1995
This press release contains forward-looking statements that involve risks
and uncertainties. The statements in this release are forward-looking
statements that are made pursuant to safe harbor provision of the Private
Securities Litigation Reform Act of 1995. Actual results, events and
performance could vary materially from those contemplated by these
forward-looking statements. These statements involve known and unknown
risks and uncertainties, which may cause NewMarket's actual results in
future periods to differ materially from results expressed or implied by
forward-looking statements. These risks and uncertainties include, among
other things, product demand and market competition. You should
independently investigate and fully understand all risks before making
investment decisions.