Accordion Company Leaves New York Stock Exchange, Relinquishes US Reporting Responsibilities
On June 4, 2007, Adecco, the world's leading Human Resource services company, announced the delisting of its American Depositary Shares (ADS) from the New York Stock Exchange (NYSE). This move was part of a strategic decision to streamline its operations and reduce complexity.
Since 2000, the average daily trading volume of shares represented by ADRs has been on a decline, accounting for approximately 1% of the total shares traded in 2006. Despite the delisting, Adecco shares continue to be traded on the NASDAQ and the Over-the-Counter (OTC) market in the US.
Adecco's decision to delist and deregister in the United States does not signify a departure from its commitment to corporate governance. The company maintains internal controls throughout its global organization that meet the world's highest standards. Moreover, the standard of corporate governance will at least be in line with current Swiss regulations and applicable rules of the stock exchanges the company's shares are traded on.
In March 2007, Adecco was certified for SOX (Sarbanes-Oxley)-404 compliance as of December 31, 2006. This certification underscores the company's dedication to transparency and accountability.
Adecco's network, managed by a multinational team with expertise in markets spanning the globe, connects over 700,000 associates with business clients each day. The company's network consists of 35,000 employees and 6,700 offices in over 70 countries and territories around the world.
By filing an application for the deregistration of its shares with the US Securities and Exchange Commission (SEC), Adecco's US reporting obligations will be suspended with immediate effect and are expected to terminate following a ninety-day SEC waiting period. After December 4, 2007, any remaining shares underlying the ADRs will be sold, and the proceeds of sale will be held by JP Morgan Chase Bank, the depositary.
Until December 4, 2007, holders will be entitled to exchange their ADRs for underlying Adecco ordinary shares. After this date, the company plans to further develop its business operations in the US, but wishes to concentrate its trading volume at virt-x and the Eurolist, which reduces complexity and therefore costs.
Adecco continues to be committed to providing a high standard of corporate governance, information, and disclosure for all investors. The company delivers an unparalleled range of flexible staffing solutions and career services to clients and associates. Adecco's headquarters are in Switzerland, and the company is continuously seeking to optimize its costs. The majority of shares held by US domiciled investors are ordinary shares acquired through virt-x London and the Eurolist of Euronext Paris.
