NYFIX to Restate Financial Statements
19 October 2005 - 11:24PM
PR Newswire (US)
STAMFORD, Conn., Oct. 19 /PRNewswire-FirstCall/ -- NYFIX, Inc.
(NASDAQ: NYFXE), a leader in technology solutions for the financial
marketplace, today announced that it will restate its previously
issued financial statement. On August 9, 2005, NYFIX announced that
it would delay the filing of its Second Quarter 2005 Quarterly
Report on Form 10-Q for the quarter ended June 30, 2005. The delay
was a result of the Company's review of information relating to its
stock option grants previously restated in the financial
statements, filed on June 30, 2005. The Company, as directed by its
Audit Committee, has recently completed its review of the
accounting for stock options and believes that non-cash
compensation expense, primarily in the years 1999 to 2004, was
understated by approximately $2 million. These results have not yet
been reviewed by the Company's independent registered public
accounting firm. The Company expects to restate its audited
financial statement for the years ended December 31, 2004, 2003 and
2002 included in its 2004 Annual Report on Form 10-K and expects to
restate its unaudited results for the three months ended March 31,
2005, included in its First Quarter 2005 Quarterly Report on Form
10-Q. Inasmuch as the adjustments relate to non-cash items, the
resulting restatement will have no effect on the Company's current
cash position or cash flows from operations. The Company believes
that the aforementioned restatement will constitute a material
weakness under Section 404 of the Sarbanes-Oxley Act of 2002. About
NYFIX, Inc. NYFIX, Inc. is an established provider to the domestic
and international financial markets of trading workstations,
middle-office trade automation technologies and trade communication
technologies. Our NYFIX Network is one of the industry's largest
networks, connecting broker-dealers, institutions and exchanges. In
addition to our headquarters in Stamford, we have offices on Wall
Street in New York City, in London's Financial District, in
Chicago, and in San Francisco. We operate redundant data centers in
the northeastern United States with additional data center hubs in
London, Amsterdam, Hong Kong and Tokyo. For more information,
please visit http://www.nyfix.com/. This press release contains
certain forward-looking statements within the meaning of Section
27A of the Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended, which are intended
to be covered by the safe harbors created thereby. Investors are
cautioned that all forward-looking statements involve risks and
uncertainty, including without limitation, the ability of the
Company to market and develop its products. Although the Company
believes that the assumptions underlying the forward-looking
statements contained herein are reasonable, any of the assumptions
could be inaccurate, and therefore, there can be no assurance that
the forward-looking statements included in this press release will
prove to be accurate. In light of the significant uncertainties
inherent in the forward- looking statements included herein, the
inclusion of such information should not be regarded as a
representation by the Company or any other person that the
objectives and plans of the Company will be achieved. DATASOURCE:
NYFIX, Inc. CONTACT: Jennifer Carberry of NYFIX, Inc.,
+1-203-425-8000, or Web site: http://www.nyfix.com/
Copyright