Arrow Financial Corporation Announces Receipt of NASDAQ Noncompliance Notice

Rhea-AI Summary

Arrow Financial Corporation (NASDAQ: AROW) announced its noncompliance with Nasdaq's periodic filing requirements due to the failure to submit its Annual Report on Form 10-K for the year ended December 31, 2022, by the due date. The company had previously filed a Notification of Late Filing on March 16, 2023. The company plans to submit the overdue report as soon as possible and must provide a compliance plan by June 2, 2023. If accepted, Nasdaq may grant up to 180 days to regain compliance, extending the timeline to September 27, 2023. However, there is no guarantee of acceptance, and failure to comply may lead to delisting. The notice currently does not affect share trading, but it serves as a warning to investors about potential risks ahead.

Positive

• Company plans to submit the overdue Form 10-K as soon as practicable.
• Potential extension of up to 180 days to regain compliance if the plan is accepted.

Negative

• Failure to comply with Nasdaq's filing requirements could lead to delisting.
• No assurance that Nasdaq will accept the compliance plan.

GLENS FALLS, N.Y., April 5, 2023 /PRNewswire/ -- Arrow Financial Corporation, a New York corporation (the "Company") announced that the Company is noncompliant with the periodic filing requirements for continued listing set forth in Nasdaq Listing Rule 5250(c)(1) (the "Rule") as a result of its failure to file its Annual Report on Form 10-K for the year ended December 31, 2022 (the "Untimely Form 10-K") with the Securities and Exchange Commission (the "SEC") by the required due date (the "Nasdaq Notice").

As previously reported by the Company in its Notification of Late Filing on Form 12b-25, filed with the SEC on March 16, 2023, as amended on March 31, 2023, the Company was unable to timely file the Untimely Form 10-K without unreasonable effort or expense. The Company intends to submit the Untimely Form 10-K as soon as practicable.

The Company is required to submit a plan, within 60 calendar days of receiving the Nasdaq Notice, or by June 2, 2023, which outlines the steps the Company expects to take to become compliant with the Rule. If Nasdaq accepts the Company's plan, Nasdaq may grant an exception of up to 180 calendar days from the due date of the Untimely Form 10-K, as extended by Rule 12b-25, or by September 27, 2023, to regain compliance. However, there can be no assurance that Nasdaq will accept the Company's plan to regain compliance or that the Company will be able to regain compliance within any extension period granted by Nasdaq. If Nasdaq does not accept the Company's plan, then the Company will have the opportunity to appeal that decision to a Nasdaq hearings panel.

The Nasdaq Notice has no immediate effect on the listing or trading of the Company's shares of common stock, though Nasdaq will broadcast an indicator over its market data dissemination network noting the Company's noncompliance. If the Company remains noncompliant with the Rule at the end of the 180-day exception period, the Company's shares of common stock will be subject to delisting from Nasdaq.

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Arrow Financial Corporation (NasdaqGS® - AROW) is a multi-bank holding company headquartered in Glens Falls,

New York, serving the financial needs of northeastern New York. The Company is the parent of Glens Falls National Bank and Trust Company and Saratoga National Bank and Trust Company. Other subsidiaries include North Country Investment Advisers, Inc., and Upstate Agency, LLC, specializing in property and casualty insurance and group health and employee benefits.

The information in this document may contain statements based on management's beliefs, assumptions, expectations, estimates and projections about the future. Such "forward-looking statements," as defined in Section 21E of the Securities Exchange Act of 1934, as amended, involve a degree of uncertainty and attendant risk. Actual outcomes and results may differ, explicitly or by implication. We are not obliged to revise or update these statements to reflect unanticipated events. This document should be read in conjunction with Arrow's Annual Report on Form 10-K for the year ended December 31, 2021 and other filings with the Securities and Exchange Commission.

View original content:https://www.prnewswire.com/news-releases/arrow-financial-corporation-announces-receipt-of-nasdaq-noncompliance-notice-301791227.html

SOURCE Arrow Financial Corporation

FAQ

What recent issue did Arrow Financial Corporation (AROW) face with Nasdaq?

Arrow Financial Corporation is noncompliant with Nasdaq's filing requirements after failing to submit its Annual Report on Form 10-K for 2022 on time.

What is the deadline for Arrow Financial to submit a compliance plan to Nasdaq?

Arrow Financial must submit a compliance plan by June 2, 2023.

What could happen if Arrow Financial does not regain compliance with Nasdaq?

If Arrow Financial fails to regain compliance by the end of the extension period, its shares could face delisting from Nasdaq.

Is there any immediate impact on Arrow Financial's stock trading due to the noncompliance notice?

Currently, there is no immediate effect on the trading of Arrow Financial's shares, but the noncompliance will be indicated in Nasdaq's market data.

What is the potential extension period for Arrow Financial to comply with Nasdaq's rules?

If the compliance plan is accepted, Arrow Financial may receive an extension of up to 180 days, extending the deadline to September 27, 2023.