NYSE: NovaStar Stock Doesn't Meet Standards

NovaStar Financial Inc., Kansas City, Mo., has announced that the New York Stock Exchange has advised the company that NovaStar's common and preferred stock no longer meet the standards for continued listing on the NYSE due to a change in the company's corporate structure.NovaStar noted that it had announced a decision in September not to declare a dividend related to its 2006 taxable income, thereby terminating its status as a real estate investment trust retroactive to January 2006. The company now operates as a C corporation, requiring it to satisfy the NYSE's criteria for listing as a corporation. But the NYSE said NovaStar's current market capitalization and other factors do not meet the criteria, NovaStar reported. The company said it plans to request a review of the determination. NovaStar can be found on the Web at http://www.novastarmortgage.com.