VeriSign gets Nasdaq notice

MOUNTAIN VIEW, Calif. --VeriSign Inc., which manages the ".com" and ".net" domain names registry, said Thursday it received a notice Nasdaq Stock Market that it is not in compliance with listing standards because it did not file its fiscal first quarter financial statement on time.

VeriSign said it expected the notice, which it received May 11.

The company said it is delaying filing its financial statement to the Securities and Exchange Commission for the quarter that ended March 31 because it has not finished an audit of prior financial statements.

Previously, the company said it would delay filing its 2006 annual report for the same reason.

VeriSign is restating financial statements from 2002 to 2005 and the first quarter of 2006 due to an ongoing stock options inquiry. It is one of at least 214 firms that have launched internal probes or are under federal scrutiny for possibly backdating stock-option grants.

The company said the Nasdaq Listing and Hearings Review Council previously decided to stay any future determinations to suspend the company's stock from trading until the exchange's review process has been completed. The company said that stay also applies to its failure to file the 2007 quarterly and 2006 annual reports on time.

The company said the exchange may give it more time to regain compliance.

Shares of VeriSign fell 9 cents to $26.36 in the regular trading session.