Peace Arch Yet to File Fiscal Year Statement20 Jul, 2009 By: Chris Tribbey
Peace Arch Entertainment has been unable to finalize its annual financial statements for the fiscal year ended Aug. 31, keeping the company’s shares from being traded in Canada and throwing the company’s future on the New York Stock Exchange Amex into doubt.
Peace Arch announced July 20 that a special committee, appointed by the company’s board of directors, was unable to obtain financial information from third-party production houses and sub-distributors, including information regarding the investment and accounting of 13 movie titles during the 2006 fiscal year.
“We are taking all the steps we can reasonably take to obtain from these third parties the information we need to finalize our statements,” said Peace Arch CEO John Flock, who took the position July 14. “We are discussing with our auditors the company’s alternatives in the event we are ultimately unable to obtain that information.”
He said that the company hopes to file fiscal 2008 statements and amended statements for fiscal 2006 and 2007 by Aug. 31.
Shares of Peace Arch stopped trading in Canada Dec. 18, 2008, due to the company’s failure to file annual financial statements, and Peace Arch has requested a further extension from the Securities and Exchange Commission to avoid delisting proceedings. Shares of Peace Arch July 20 remained unchanged at 6 cents.