SCO Group, embroiled in bitter legal wrangles around Linux with, among others, IBM and Novell, faces delisting from the Nasdaq after receiving a Staff Deficiency Letter indicating that it fails to comply with the minimum bid price requirement for continued listing.

The letter gives SCO notice that the company's bid price of its common stock has closed under $1.00 for the last 30 business days and gives it 180 days – until 22 October – to regain compliance. For compliance, the price of SCO's common stock must close at $1.00 or more per share for a minimum of 10 consecutive business days, although Nasdaq staff can increase this under certain circumstances.
"If the Company cannot demonstrate compliance with Rule 4310(c)(4) by October 22, 2007, the Nasdaq staff will determine whether the company meets The Nasdaq Capital Market initial listing criteria set forth in Nasdaq Marketplace Rule 4310(c), except for the bid price requirement," the letter says.
"If the Company meets the initial listing criteria, the Nasdaq staff will notify the company that it has been granted an additional 180 calendar day compliance period. If the company is not eligible for an additional compliance period, the Nasdaq staff will provide written notice that the company's securities will be delisted. At that time, the company may appeal the Nasdaq staff's determination to delist its securities to a Listing Qualifications Panel."