This hit my inbox about 10 minutes ago:
China Crescent Enterprises, Inc. Releases Webcast Discussing Short Selling and Reg SHO
SEC Regulation SHO Targets Abusive Naked Short Selling by Reducing Failure to Deliver Securities
Shareholders and Interested Investors-
The Company remains listed on the Regulation SHO Threshold Security List, and Investor Relations has received questions on what Regulation SHO is and what this means for the Company.
SEC Regulation SHO targets abusive naked short selling in the market by reducing failure to deliver securities and by limiting the time in which a broker can permit failures to deliver. The Regulation SHO Threshold Security List reports any stock where more than 0.5% of a company's total outstanding shares failed delivery for five consecutive days.
China Crescent has been added to the threshold security list because a significant number of stock sales have been transacted in the market but the actual shares have not been delivered by the seller, creating a "failure to deliver". The number of "failures to deliver" has exceeded the Regulation SHO guidance.
China Crescent will remain on the threshold security list until the specified level of fails has not exceeded the Regulation SHO standard for five consecutive settlement days.
Any "failure to deliver" may result in a corresponding stock purchase to cover the short position. Stock purchasing to cover short sales can add to the ordinary demand for stock purchases and correspondingly contribute to an increased price per share.
In response to recent questions and to the Company remaining on the list, China Crescent has released an on-demand Webcast to discuss Regulation SHO in more detail. The Webcast is available on the Company's website
www.chinacrescent.com under Recent Webcasts, titled 'China Crescent Reg SHO and Short Selling Webcast (Aug. 27, 2009)'.
Thank you -
Investor Relations
AI
