AESP, INC. RECEIVES
NASDAQ DELISTING NOTICE; INTENDS TO APPEAL
Miami, Florida, May 28,
2004 - AESP, Inc. (NASDAQ: AESP) today announced that it has received a notice from
the Listing Qualifications unit of the Nasdaq Stock Market that its common stock is
subject to delisting, pending the outcome of the hearing described below. The delisting determination was based on AESP's
current non-compliance with Marketplace Rule 4310(c)(2)(B). The rule requires that a
listed company maintain a minimum stockholders’ equity of $2,500,000 or $35,000,000
in securities market value or $500,000 in income from continuing operations for the most
recent fiscal year or for two of the three most recent years. At March 31, 2004, AESP's stockholders' equity was
$1.8 million, and AESP does not otherwise meet the alternative measures for continued
compliance with the rule.
AESP intends to request an oral hearing before the Nasdaq Listing
Qualifications Panel to appeal this decision and seek continued listing. When Nasdaq receives the hearing request, the
delisting of the common stock will be automatically stayed pending the outcome of the
hearing. The common stock of AESP will
continue to trade on the Nasdaq Small-cap Market under the symbol "AESP" pending
the outcome of these proceedings. There can be no assurance that the Listing
Qualifications Panel will grant AESP's request for continued listing. AESP is actively
pursuing measures to regain compliance with the applicable Nasdaq Marketplace Rule.
Slav Stein, AESP's President and CEO, stated: "As we have
previously disclosed, we are actively seeking to raise additional equity capital to reduce
our debt, provide working capital for our business and for acquisitions in an amount
sufficient to increase our net worth beyond that required for continued listing by the
Nasdaq marketplace rule. We are also currently exploring strategic options. We intend to
appeal the decision of the Nasdaq staff through the proper channels at the Nasdaq Stock
Market, and we believe that we will present a compelling case to the Listing
Qualifications Panel when our appeal is heard."
AESP, Inc. designs, manufactures, markets and distributes network
connectivity products under the brand name Signamax as well as customized solutions for
original equipment manufacturers worldwide. For additional
Company information, visit our websites, www.aesp.com , www.Signamax.com and
www.Signamax.de.
Safe Harbor Disclosure
under the 1995 Securities Litigation Reform Act.
This news release contains
forward-looking statements, which involve risks and uncertainties. The Company’s
actual future results could differ materially from the results anticipated herein. For
information regarding factors that could impact the Company’s future performance, see
the Company’s future filings with the U.S. Securities and Exchange Commission,
including its Annual Report on Form 10-K for 2003 and its Quarterly Report on Form 10Q for
the quarter ended March 31, 2004.
Signamax is a trademark of AESP,
Inc. in the United States and/or other countries.
For further information, please contact: AESP, Inc.
Slav Stein, President & CEO
1810
NE 144 Street
Roman Briskin, Executive Vice President
North
Miami, Florida 33181
John F. Wilkens, Chief Financial Officer (305)
944-7710