UPDATE 1-Fuqi gets second non-compliance notice from Nasdaq

Tue May 18, 2010 5:52pm EDT

* Expects filing 2009 restated quarterly reports in June

* Expects to file Q1 2010 results as soon as practical

May 18 (Reuters) - China's Fuqi International Inc FUQI.O said it received a second non-compliance notification letter on May 12 from Nasdaq, which requires timely filing of financial reports.

The jewelry maker received the first letter in April.

In March, the company had said it has identified some accounting errors having an impact on its results for the first three quarters of 2009, resulting in an overstatement of the earnings per share. [ID:nSGE62F0HL]

The company said it currently expects filing its 2009 annual report and restated quarterly results next month.

It also expects to file its first-quarter 2010 results as soon as practical.

The company said it intends to submit a plan to Nasdaq to regain compliance with the continued listing requirements.

Depending on whether Nasdaq approves of the plan, it may grant Fuqi up to 180 days to achieve and sustain compliance. Otherwise, it will provide written notice that Fuqi's common stock would be subject to delisting from the Nasdaq Global Select Market, the company said in a statement.

Shares of the Shenzhen, China-based company closed at $9.17 Tuesday on Nasdaq. (Reporting by Shobhana Chadha in Bangalore; Editing by Maju Samuel) ((shobhana.chadha@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: shobhana.chadha.reuters.com@reuters.net))

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