Kopin files all delinquent periodic reports with SEC

TAUNTON – Kopin Corp. (Nasdaq: KOPN) has completed its review of past accounting and stock-option practices, as well as the filing with the U.S. Securities and Exchange Commission of all past-due periodic reports, the company announced today. “We are pleased to have this matter behind us, and we look forward to reporting our fourth-quarter and full-year 2007 financial results shortly,” said John C.C. Fan, Kopin’s president and CEO.

The reports just filed – for periods from the third quarter of 2006 to the third quarter of 2007, including the 2006 full-year report – “fulfill Kopin’s filing requirement for continued listing on the NASDAQ Stock Market as outlined under Nasdaq Rule 4310(c)(14),” the company said. Its full-year and fourth-quarter financial reports for 2007 will be filed “as soon as reasonably practical but no later than the expiration of the 15-day extension period on March 31,” Kopin said.

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Kopin had announced on Nov. 1, 2006, that its board of directors had appointed a special committee to review its past stock-option practices; that the company would not file its third-quarter report until after panel completed its review; and that it did not expect to be able to file its Form 10-Q by the Nov. 10 deadline.

That same month, the Nasdaq Stock Market LLC first notified the company that its listing was in danger because of the delay. But, after hearings about once per quarter, the market’s board of directors has repeatedly agreed to give the manufacturer more time to complete its review and become current. (READ MORE)

In its full 2006 annual report, Kopin recorded a one-time expense of $37.5 million for non-cash stock-based compensation, and associated tax charges of $80,000, related to stock-option grants the company made between 1995 and 2006. It also “recorded previously immaterial audit differences of $69,000 for all years through 2006.”

Kopin posted a net loss of $2.1 million or 3 cents per diluted share for 2006, compared with the previous year’s revised profit of $10.5 million or 15 cents per share. As in the partial report issued a year ago, the company posted total revenue of $71.1 million, down from $90.3 million in 2005. (READ MORE)

Kopin Corp. (Nasdaq: KOPN) develops and manufactures telecommunications and digital imaging technologies under the Kopin, CyberDisplay and NanoSemiconductor Co. trademarks. Additional information is available at www.kopin.com.