Walter Investment Management Corp. in Fort Washington, Pa., has received notification from the New York Stock Exchange that the price of its shares has fallen below compliance standards.
The average closing price of the company's stock is considered below compliance standards because it fell under $1 over a consecutive 30-trading-day period ending July 10.
The company can regain compliance if at any point within a six-month period the trading price of its stock improves to the point where it's at least $1 on the last trading day of the month, and the average 30-day closing price prior to that day is $1.
If the company makes a plan to improve the stock price deficiency by taking corporate action that requires shareholder approval, it can get more time for that approval. But Walter would have to obtain the shareholder approval by no later than its next annual meeting in 2018.
Walter's subsidiaries include direct lender Ditech, which has been undergoing a restructuring process, and servicer Reverse Mortgage Solutions.