World Poker Tour May Face Delisting Warns NASDAQ

WPT Enterprises Inc. (WPTE), who owns the World Poker Tour (WPT), received more bad news on top of their disappointing second quarter report. This past week they received a letter from NASDAQ warning that if WPTE's share price continued to close below $1, that they could be delisted.

The letter was triggered because the closing share price of WPTE common stock was below $1 for 30 consecutive business days, and NASDAQ has a $1 minimum stock listing price requirement.

The WPTE has 180 calendar days to become compliant, which requires that the bid price of its stock must remain above $1 for a minimum of 10 consecutive business days. If it does not, then the WPTE will be subject to delisting.

Several observers have noted that the WPTE could perform a reverse stock split. Then the number of shares would be halved, and their value doubled, which at time of this writing would bring them well above the $1 minimum required by NASDAQ to remain listed.

ALREADY A BAD Q2

Less than two weeks ago, WPTE released a disappointing revenue report for the second quarter of the year. The company saw another drop in its revenue from $7.7 million in the second quarter of 2007 to $5.1 million in the same period this year.

According to the WPTE the losses were primarily due to a decrease in domestic television license fees: a lower per episode GSN license fee during the 2008 season versus those from the Travel Channel during the 2007 season. The company also noted that a drop in hosting and sponsorship revenues in the second quarter affected its overall revenue numbers.

The Company reported a net loss for the quarter of $3.9 million, or $0.19 per fully-diluted share, compared to a net loss of $3.3 million, or $0.16 per fully-diluted share, in the 2007 period.

OPTIMISTIC FUTURE

Subsequent to the end of the quarter, the Company announced a broadcast license agreement with Fox Sports Network (FSN) to air 26 all-new, one hour WPT episodes of Season VII of the WPT television series in the United States, across FSN's national sports cable network.

WPTE President and CEO, Steve Lipscomb, remains optimistic for the future, saying, "We continue to be disappointed in our online gaming results and have begun directing resources in our growing sponsorship business. On the other hand, we continue to be encouraged by the strength of our brand in the domestic and international marketplace."

In addition to the 26 new epidsodes on FSN, Lipscomb pointed to a second FSN collaboration, adding, "The second deal is an agreement that will provide television and other media exposure that we expect to allow us to grow our subscriber based online poker business, ClubWPT.com."

More Poker News Articles

Fabrice Soulier Joins Everest Poker's Pro Roster
12am Thu Nov 26th, 2009

To further strengthen its support for French poker in anticipation of the opening of that market, Everest Poker has signed renowned French poker pro Fabrice Soulier as its latest ambassador.

HHPT Co-Sponsors Bayou Poker Challenge Ladies Event Dec. 20
12am Wed Nov 25th, 2009

The HighHeelsPokerTour (HHPT), the first all women's poker tour launched on the East coast, will wrap up their 2009 schedule at Harrah's New Orleans on December 20th where they will co-sponsor the Ladies Event #14 no-limit Hold'em at 12 pm.

OPPAGA Reports on Florida's Online Poker Options
12am Tue Nov 24th, 2009

Given that UIGEA permits individual states to regulate online poker, the Florida Legislature's Office of Program Policy Analysis and Government Accountability (OPPAGA) published a report this week presenting three options available to Florida State lawmakers in order to protect consumers from unlawful internet poker: regulate it, prohibit it, or carry on with the status quo pending federal legislation.

BC Poker Champion Arrested, Charged with Manslaughter
12am Tue Nov 24th, 2009

Just two days after taking down the BC Poker Championships Main Event, Sophon Sek of Cloverdale, BC, was arrested in connection with one of the most storied crimes in the Province's history.

Local Businessman Bags European Poker Tour Vilamoura Bling
12am Sun Nov 22nd, 2009

The European Poker Tour rolled into the Casino Vilamoura last week, instantly generating the richest poker prize pool in the nation of Portugal's history.

Keikoan Captures Harvey's Lake Tahoe WSOPC Championship
12am Thu Nov 19th, 2009

This week marked the finale of the biggest annual tournament series in Northern Nevada, the WSOP Circuit championship at Harvey's Lake Tahoe. While the Main Event saw only a modest turnout, it did boast of a tough final table, and a WSOP bracelet owner as the eventual champion.

WSOP Main Event Champ Joe Cada to Appear on Letterman
12am Wed Nov 18th, 2009

The poker world will receive some late night attention tonight as "The Kid" Joe Cada, the youngest champion in the four decade history of the World Series of Poker Main Event, takes a seat next to embattled talk show host David Letterman.

First Korean Champ of Asia Pacific Poker Tour Crowned in Cebu
12am Tue Nov 17th, 2009

Another stop on the Asia Pacific Poker Tour is in the books, this time it's the APPT Cebu in the Philippines, and for the very first time a Korean player has come out on top.

Pollack Done as Commish of World Series of Poker
12am Sat Nov 14th, 2009

Just three days after crowning Joe Cada as the 2009 Main Event champion, officially closing the special 40th anniversary run of the World Series of Poker, Jeffrey Pollack has resigned his post as Commissioner of the WSOP.

Durrrr Signs as Team Full Tilt's Youngest Member
12am Wed Nov 11th, 2009

Tom "durrrr" Dwan is the newest member of Team Full Tilt, the online site's highest level of affiliation. At 23, Dwan is the youngest of the now 14-person team. The high stakes cash phenomenon was nominated for induction this year into the Poker Hall of Fame until the Hall of Fame Governing Council decided he was too young to meet the "has stood the test of time" qualification.