MTI receives delisting letter from Nasdaq

Mechanical Technology Inc. has been notified by the Nasdaq Stock Market that it was subject to being delisted from the Nasdaq Capital Market.

Mechanical Technology reported last week that Nasdaq said the company failed to pay certain fees. MTI already has written to Nasdaq to voluntarily delist its common stock from the Nasdaq Capital Market, so it does not intend on appealing the staff notification letter. Mechanical Technology said it anticipated its common stock will be quoted on Pink Sheets, a centralized quotation service for over-the-counter securities.

Mechanical Technology, which posted a $12.5 million loss in 2008 on sales of $6.2 million, delisted itself on April 6.

MTI said in its filing to the U.S. Securities and Exchange Commission that it would continue to file periodic reports with the commission, but couldn’t guarantee that the stock will trade. MTI announced the delisting before Nasdaq removed the company for failing to meet the $2.5 million minimum equity requirement. MTI’s year-end proxy showed $1.5 million in stockholders’ equity.

Mechanical Technology had 57 employees as of March 23. Twenty-five of those work at MTI MicroFuel Cells Inc., which is working on power packs for portable electronic devices such as cell phones and PDAs. Mechanical Technology said it has invested $33 million in research and development at MTI Micro during the past three years.

MTI said it has not generated any product revenue from its portable power business and has no commercial products yet. When it does develop a commercial product, it will most likely be made by a third party, MTI said.

Thirty-two employees work at MTI Instruments, which designs test devices. That division is the company’s profit-generator.

http://www.bizjournals.com/albany/stories/2009/04/27/daily4.html

Source: Fuel Cell Today