Excite@Home faces Nasdaq expulsion

Auditors acting for ailing broadband service provider At Home have warned that the company may lose its Nasdaq stock exchange...

Auditors acting for ailing broadband service provider At Home have warned that the company may lose its Nasdaq stock exchange listing before the end of the year.

In a report released yesterday, At Home said its net tangible assets and stockholders' equity had dropped below the threshold levels needed to maintain its position on Nasdaq.

The company's shares are now trading below the $3 (£2.07) minimum required when Nasdaq's asset and equity standards are not met.

The company said it did not expect the online advertising market to recover in the near future, and that it had not been able to secure financing and standard payment terms from some of its equipment vendors and other key suppliers. It has also suffered a drain from real estate lease commitments.

Best known for its Excite@Home brand, the company said it is attempting to conserve its cash through staff redundancies. At Home recently cut another 200 jobs following several earlier rounds of staff cuts.

The company confirmed it would also continue to seek a buyer for some of its media assets.

Investors reacted swiftly to news of At Home's difficulties. Trading volume rose dramatically as investors dumped their stock, with more than 24 million shares changing hands yesterday before the share price closed 47.1% down.

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