Prior to Imposition of Moratorium Grubb & Ellis Company Receives Continued Listing Notice from NYSE
Company will benefit from moratorium and will have extended period to come into compliance with minimum share price standard; company's business operations are unaffected.
SANTA ANA, Calif., Feb. 27 /PRNewswire-FirstCall/ -- Grubb & Ellis Company
(NYSE: GBE), a leading real estate services and investment firm, today
announced that prior to the NYSE's imposition of a moratorium with respect to
the minimum average trading price of listed securities, it had received
notification from the NYSE on February 20, 2009 that it was not in compliance
with the continued listing standard related to maintaining a minimum average
closing price of $1 per share over 30 consecutive trading days.
Subsequent to receipt of this notification, the NYSE announced on February
26, 2009 that, effective immediately, it was imposing a moratorium and
suspending its listing criteria with respect to maintaining a minimum average
trading price. Under the NYSE's rules prior to the moratorium, the company
had a period of six months to bring its average share price back above $1.00.
With the announcement of the moratorium, this six-month period will
automatically be suspended, and thereby extended, and the company will have
until at least December 20, 2009 to come back into compliance. During the
entire cure period, the company's common stock will continue to be listed on
the NYSE, subject to compliance with other NYSE listing criteria, and a ".BC"
indicator will be affixed to the GBE ticker symbol.
The company's business operations, SEC reporting requirements and credit
agreements are unaffected by the notification and the company intends to cure
the deficiency and to return to compliance with the NYSE continued listing
requirements.
About Grubb & Ellis
Grubb & Ellis Company (NYSE: GBE) is one of the largest and most respected
commercial real estate services and investment companies. With more than 130
owned and affiliate offices worldwide, Grubb & Ellis offers property owners,
corporate occupants and investors comprehensive integrated real estate
solutions, including transaction, management, consulting and investment
advisory services supported by proprietary market research and extensive local
market expertise.
Grubb & Ellis and its subsidiaries are leading sponsors of real estate
investment programs that provide individuals and institutions the opportunity
to invest in a broad range of real estate investment vehicles, including tax-
deferred 1031 tenant-in-common (TIC) exchanges; public non-traded real estate
investment trusts (REITs) and real estate investment funds. As of September
30, 2008, more than $3.8 billion in investor equity has been raised for these
investment programs. Grubb & Ellis and its subsidiaries currently manage a
growing portfolio of more than 225 million square feet of real estate. In
2007, Grubb & Ellis was selected from among 15,000 vendors as Microsoft
Corporation's Vendor of the Year. For more information regarding Grubb & Ellis
Company, please visit www.grubb-ellis.com.
Forward-Looking Statements
Certain statements included in this press release may constitute forward-
looking statements regarding, among other things, the ability of Grubb & Ellis
Company to return to compliance with the NYSE's continued listing standards,
future revenue growth, market trends, new business opportunities and
investment programs, synergies resulting from the merger of Grubb & Ellis
Company and NNN Realty Advisors, certain combined financial information
regarding Grubb & Ellis Company and NNN Realty Advisors, new hires, results of
operations, changes in expense levels and profitability and effects on the
Company of changes in the real estate markets. These statements involve known
and unknown risks, uncertainties and other factors that may cause the
Company's actual results and performance in future periods to be materially
different from any future results or performance suggested by these
statements. Such factors which could adversely affect the Company's ability
to obtain these results include, among other things: (i) the slowdown in the
volume and the decline in transaction values of sales and leasing
transactions; (ii) the general economic downturn and recessionary pressures on
businesses in general; (iii) a prolonged and pronounced recession in real
estate markets and values; (iv) the unavailability of credit to finance real
estate transactions in general and the Company's tenant-in-common programs, in
particular; (v) the reduction in borrowing capacity under the Company's
current credit facility, and the additional limitations with respect thereto;
(vi) the Company's continuing ability to make interest and principal payments
with respect to its credit facility; (vii) an increase in expenses related to
new initiatives, investments in people, technology and service improvements;
(viii) the success of current and new investment programs; (ix) the success of
new initiatives and investments; (x) the inability to attain expected levels
of revenue, performance, brand equity and expense synergies resulting from the
merger of Grubb & Ellis Company and NNN Realty Advisors in general, and in the
current macroeconomic and credit environment, in particular and (xi) other
factors described in the Company's annual report on Form 10-K for the fiscal
year ending December 31, 2007 and in the Company's quarterly reports on Form
10-Q for the quarters ended March 31, 2008, June 30, 2008 and September 30,
2008 filed with the Securities and Exchange Commission (the "SEC"). The
Company does not undertake any obligation to update forward-looking
statements.
