Taking It To The Street(.com)

By Marla Singer and Geoffrey Batt

Jim "Dykstra Is One Of The Great Ones In The Business" Cramer's thestreet.com appears to be suffering.  The company failed to produce their 10-Q filing for the second quarter explaining that "the Company has identified an issue relating to its recording of certain revenue in a non-core business, Promotions.com, that the Company acquired in August 2007...."  Nasdaq promptly sent thestreet.com an official notice of the firm's failure to comply with listing rules (to wit Rule 5250(c)(1)) and gave the firm until October 12th to explain themselves.  Apparently, no explanation has been forthcoming (or at least if it has we have been unable to uncover it- EDGAR doesn't list ANY filings by the company after August) nor does it appear that Nasdaq has yet seen fit to bless thestreet.com with an extension.  It seems just one of the latest hurdles for the sound effects driven firm.  A literal "abandon ship" exercise seems to have gripped the company's executive and professional advisory corps.  For instance:

  • Last October, Jeffrey Cunningham resigned as a member of the Board of Directors.
  • In January, Jay Hoag resigned as a member of the Board of Directors.
  • In March, Steve Elkes, Chief Revenue Officer, departed.
  • In April, Eric Ashman, the company's Chief Financial Officer resigned.
  • In June, Teresa Santos ceased to be the firm's General Counsel and Secretary.
  • In August Jeffrey Sonnenfeld (Dean of the Business School Executive Programs at Yale Business) resigned from the Board of Directors.

The firm's investor relations group did not immediately return Zero Hedge's calls, NASDAQ does not comment on these sorts of actions and Mr. Cramer appears to be "on holiday" this AM- likely, given the shallow executive bench at the firm, penning a re-listing compliance plan.