HOUSTON, Feb. 13 /PRNewswire-FirstCall/ -- Cyberonics, Inc. (the “Company”) today announced that, with the filing on February 9, 2007 of its Quarterly Report on Form 10-Q for the period ended October 27, 2006, it has now filed all previously delinquent reports to the Securities and Exchange Commission (“SEC”). The Company also announced that it received a letter today from The NASDAQ Stock Market LLC (“NASDAQ”) confirming that it “has demonstrated compliance with all NASDAQ Marketplace Rules” and that the NASDAQ Listing Qualifications Panel has “determined to continue the listing of the Company’s securities on The NASDAQ Stock Market.” The filings can be found on the SEC’s website at http://www.sec.gov .
“We are pleased that our regulatory obligations to the SEC and NASDAQ are now current, and we look forward to continued compliance in the future,” commented Reese S. Terry, Jr., the Company’s Interim Chief Executive Officer. “This is an important milestone in our efforts to re-focus attention on our business following an exhaustive, five-month investigation by the Audit Committee of our Board of Directors into the Company’s stock option grants, practices and procedures.”
ABOUT VNS THERAPY AND CYBERONICS
Information on Cyberonics, Inc. and VNS Therapy(TM) is available at http://www.cyberonics.com and http://www.vnstherapy.com .
SAFE HARBOR STATEMENT
This press release contains 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. These statements can be identified by the use of forward-looking terminology, including “may,” “believe,” “will,” “expect,” “anticipate,” “estimate,” “plan,” “intend,” and “forecast,” or other similar words. Statements contained in this press release are based upon information presently available to the Company and assumptions that the Company believes to be reasonable. The Company is not assuming any duty to update this information should those facts change or should we no longer believe the assumptions to be reasonable. Investors are cautioned that all such statements involve risks and uncertainties, including without limitation, statements concerning future compliance with the SEC and NASDAQ regulatory requirements. The Company’s actual decisions, performance and results may differ materially. Important factors that may cause actual results to differ include, but are not limited to: continued market acceptance of VNS Therapy and sales of the Company’s product; the development and satisfactory completion of clinical trials and/or market test and/or regulatory approval of VNS Therapy for the treatment of Alzheimer’s disease, anxiety, or other indications; adverse changes in coverage or reimbursement amounts by third-parties; intellectual property protection and potential infringement claims; maintaining compliance with government regulations and obtaining necessary government approvals for new applications; product liability claims and potential litigation; reliance on single suppliers and manufacturers for certain components; the accuracy of management’s estimates of future expenses and sales; the results of the previously disclosed governmental inquiries; the impact of restatement of the Company’s financial statements or other actions that might be taken or required as a result of such inquiries or the review by the Audit Committee of the Company’s Board of Directors of the Company’s stock option grants, procedures, and practices, including a default under credit facilities or debt instruments; the potential identification of new material weaknesses in the Company’s internal controls over financial reporting; risks and costs associated with such inquiries or review and any litigation relating thereto or to the Company’s stock option grants, procedures, and practices (including the previously disclosed private litigation); uncertainties associated with stockholder litigation and other risks detailed from time to time in the Company’s filings with the SEC. For a detailed discussion of these and other cautionary statements, please refer to the Company’s most recent filings with the SEC, including its Form 10-K for the fiscal year ended April 28, 2006 and its Form 10-Q for the period ended October 27, 2006.
Cyberonics, Inc.
CONTACT: media, Helen Shik, Vice President of Schwartz Communications,+1-781-684-0770, or fax, +1-781-684-6500, or hshik@schwartz-pr.com ; orfinancial media, Eric Brielmann or Jeremy Jacobs, both of Joele Frank,Wilkinson Brimmer Katcher, +1-212-355-4449, or fax, +1-212-355-4554, allfor Cyberonics, Inc.
