Another disk drive company whose means are very straitened is Longmont, Colorado-based MiniScribe Corp, which says that it will not be able to meet a deadline of today set by the National Association of Securities Dealers for filing of its annual report on Form 10K for fiscal 1988 and quarterly reports on Form 10Q for the first three quarters of 1989. The company’s stock has been trading under a temporary exception to the filing requirements since July 1989, and it plans to ask the Association for a further extension, but doesn’t know that it will get it. The delay has been caused primarily by the decision to phase out all but two of its current 3.5 drives in order to reduce fixed costs and concentrate resources on the new family of 1 high 7000 Series 3.5 drives. The decision requires a lengthy accounting and audit process to determine appropriate charges and write-offs. The company also said that it has been meeting with dissident shareholders with lawsuits pending, and outlined a settlement and recapitalisation that needs quick settlement of all the suits: without that, it may have to seek protection by filing under Chapter 11 of the US Federal Bankruptcy Code.
