Sets Dividend Payment Date
BILLERICA, MA -- (Marketwire) -- 07/28/09 -- Soapstone Networks Inc. (NASDAQ: SOAP), today
announced that, at the Company's annual meeting of stockholders held on
July 28, 2009, the stockholders of Soapstone Networks voted to approve the
liquidation and dissolution of the Company pursuant to a Plan of
Liquidation and Dissolution (the "Plan of Liquidation").
As previously announced by the Company, in connection with the approval of
the Plan of Liquidation, the Company's Board of Directors has approved an
extraordinary cash dividend of $3.75 per share of the Company's common
stock. The dividend will be paid on July 29, 2009 and the Company's stock
will trade ex-dividend commencing July 30, 2009.
The Company intends to file a certificate of dissolution on July 31, 2009
with the Delaware Secretary of State in accordance with the Plan of
Liquidation. At the close of business on July 31, 2009, the Company
expects to close its stock transfer books and cease recording transfers of
shares of its common stock. At that time, the Company's common stock, and
stock certificates evidencing the shares of common stock, will no longer be
assignable or transferable on the Company's books. We have notified Nasdaq
OMX of the date we intend to file our certificate of dissolution, and we
will seek to delist our shares of common stock as soon as practicable
thereafter. In addition, we requested that the Nasdaq Global Market
suspend the trading of our common stock effective at the close of business
on July 31, 2009. After the Company ceases trading on the Nasdaq Global
Market as a result of such suspension, shares of the Company's common stock
held in street name with brokers may be traded in the over-the-counter
market on an electronic bulletin board established for unlisted securities
such as the OTC Bulletin Board or the Pink Sheets. Such trading will reduce
the market liquidity of the Company's common stock. As a result, an
investor would find it more difficult to dispose of, or obtain accurate
quotations for the price of the Company's common stock, if they are able to
trade the Common Stock at all.
The Board of Directors has fixed July 31, 2009 as the record date for
determining stockholders entitled to receive any future distributions of
available assets and as the final date for the recording of stock
transfers. Only those stockholders of record as of the close of business
on July 31, 2009 (the "Record Stockholders"), will be entitled to such
future distributions. The Company anticipates that its first distribution
after the July 31, 2009 record date is not likely to occur prior to the
first quarter of 2010. Prior to winding up its affairs under Delaware law,
the Company intends to make at least one additional liquidating
distribution to the Record Stockholders.
