World Air Holdings Expects to File 8-K Related to North American Airlines Acquisition by Mid-October
September 29 2005 - 9:34AM
PR Newswire (US)
Company Receives Nasdaq Compliance Notices Regarding Recent Filings
PEACHTREE CITY, Ga., Sept. 29 /PRNewswire-FirstCall/ -- World Air
Holdings, Inc. (NASDAQ:WLDA) expects to file a Form 8-K/A by
mid-October that will include the 2004 audited financial statements
of North American Airlines, as required by the Securities Exchange
Commission and Nasdaq due to World Air Holdings' acquisition of
North American. The company and its auditor, KPMG LLP, have been
working to complete the audit since the acquisition closed on April
27, 2005. The company received notice from The Nasdaq Stock Market
on Sept. 28, 2005 that it was not in compliance due to the delay in
filing its Form 8-K/A, which was due by July 13, 2005. The company
also received notice on Sept. 27, 2005, from The Nasdaq Stock
Market that the company's Form 10-Q for the quarter ended June 30,
2005, did not include a completed review by the company's
independent auditor. As a result, World Air Holdings was not in
compliance with Nasdaq Marketplace Rule 4310(c)(14) and the
company's securities are subject to delisting from the Nasdaq
National Market. The company was notified that it has until Oct. 6,
2005, to request an appeal hearing. The character "E" will be
appended to the company's trading symbol as of the opening of
business on Sept. 29, 2005. Accordingly, the trading symbol for
World Air Holdings will be changed temporarily from WLDA to WLDAE
until such time as the company demonstrates its compliance with all
applicable marketplace rules. The company will request an appeal
hearing before the Nasdaq Listing Qualifications Panel to review
the Staff Determinations, which will stay delisting until the
appeal has been heard and the panel has rendered its decision. The
company is working diligently with its auditor, KPMG, to complete
KPMG's review of the financial information contained in the Form
10-Q and to file the Form 8-K/A, to fully comply with all Nasdaq
requirements for continued listing. The company believes that the
Form 10-Q for the quarter ended June 30, 2005, filed with the
Securities and Exchange Commission on Aug. 15, 2005, otherwise
complies with applicable standards. There can be no assurance that
the panel will grant the company's request for continued listing on
The Nasdaq National Market. As previously disclosed, North American
Airlines, based in Jamaica, N.Y., was privately held prior to the
acquisition and North American had not maintained the level of
internal controls and procedures for financial reporting required
by the rules and regulations of the Securities and Exchange
Commission. After the closing of the acquisition of North American,
the World Air Holdings management team identified weaknesses in
North American's disclosure controls and procedures, and has taken
aggressive action over the past few months to remediate those
weaknesses, including replacing the controller at North American
and retaining two external firms to focus on controls, processes
and Sarbanes-Oxley compliance, and to assist with daily accounting
duties and completion of the form 8-K/A. "Completing the review of
the Form 10-Q and filing the Form 8-K/A are our highest priorities,
and we are doing everything possible to accomplish those goals,"
said Randy Martinez, chief executive officer of World Air
Holdings." World Air Holdings has three wholly owned subsidiaries,
World Airways, Inc., North American Airlines, Inc., and World Risk
Solutions, Ltd. World Airways is a charter passenger and cargo
airline founded in 1948, North American is a charter passenger
airline founded in 1989, and World Risk Solutions is an insurance
subsidiary established in 2004. For further information, go to
http://www.worldairholdings.com/. ["Safe Harbor" statement under
the Private Securities Litigation Reform Act of 1995: This release
contains forward looking statements that are subject to risks and
uncertainties including, but not limited to, the impact of
competition in the market for air transportation services, the
cyclical nature of the air carrier business, reliance on key
marketing relationships, fluctuations in operating results and
other risks detailed from time to time in the Company's periodic
reports filed with the SEC (reports are available from the Company
upon request). These various risks and uncertainties may cause the
Company's actual results to differ materially from those expressed
in any of the forward looking statements made by, or on behalf of
the Company in this release.] DATASOURCE: World Air Holdings, Inc.
CONTACT: Media, Steve Forsyth of World Air Holdings, Inc.,
+1-770-632-8322; or Investors, Karen Vahouny of Qorvis
Communications, +1-703-744-7809 Web site:
http://www.worldairways.com/
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