Avid to Request a Hearing Regarding NASDAQ Staff Determination Letter

  Avid to Request a Hearing Regarding NASDAQ Staff Determination Letter

Business Wire

BURLINGTON, Mass. -- September 5, 2013

Avid Technology, Inc. (NASDAQ:AVID) announced today that on August 29, 2013 it
received a letter from the staff of the Listing Qualifications Department of
The NASDAQ Stock Market LLC (“NASDAQ Staff”) indicating that unless the
Company requests a hearing before the NASDAQ Listing Qualifications Panel
(“Panel”) by September 5, 2013, the Company's common stock would be subject to
delisting based upon its non-compliance with NASDAQ's filing requirement, as
set forth in Listing Rule 5250(c)(1) (“Rule”). The Staff's determination
letter was issued in accordance with standard NASDAQ procedures due to the
delayed filing of the Company's Form 10-K for the fiscal year ended December
31, 2012 and Forms 10-Q for the fiscal quarters ended March 31, 2013 and June
30, 2013 (collectively, “Delinquent Reports”).

The Company has requested a hearing before the Panel and also requested a stay
of the Staff's delisting determination. As a result of this request, the
delisting of the Company's common stock is automatically stayed until at least
September 20, 2013 and, assuming the Panel grants the Company's request for a
stay, any final delisting action will be further stayed until at least the
Panel's final determination following the hearing. At the hearing, the Company
will present its plan to regain compliance with the Rule and request the
continued listing of its common stock on NASDAQ pending such compliance. The
Panel has the discretion to grant the Company an extension until March 14,
2014 to regain compliance with the Rule. There can be no assurance that the
Panel will grant the Company's requests.

As previously announced, the Delinquent Reports were not timely filed due to
the Company's ongoing accounting evaluation and pending restatement of its
financial statements for the fiscal years ended December 31, 2011, 2010 and
2009 and quarterly periods ended March 31, 2012 and 2011, June 30, 2012 and
2011, and September 30, 2012 and 2011. For more information regarding the
accounting evaluation, please see the Notification of Late Filing on Form
12b-25 filed by the Company on August 12, 2013, and the Current Report on Form
8-K filed by the Company on May 21, 2013.

Although the Company is working diligently and has made substantial progress
in the accounting evaluation process, that process is complicated and
time-consuming, and additional time is needed to complete it. The Company
intends to complete the restatement and to file the Delinquent Reports as
promptly as practicable.

During this process, Avid plans to continue to invest in its product
innovation and execute on its growth strategy. Avid has no debt and ample cash
to support it in these efforts and believes it is well positioned to support
its customers' ongoing success.

Cautionary Note Regarding Forward-Looking Statements.

The information provided in this notice includes forward-looking statements
that involve risks and uncertainties, including statements about Avid's
anticipated plans, objectives, expectations and intentions. Such statements
include, without limitation, statements regarding the additional time that may
be granted for Avid to regain compliance with the NASDAQ rules; any stay that
may be granted with respect to the delisting of Avid's common stock; Avid's
ability and time required to regain compliance with NASDAQ's rules; Avid's
innovation and growth strategy; the ongoing evaluation of Avid's current and
historical accounting practices and the outcome and timing of such evaluation;
the scope of the ongoing evaluation; and the timing of the filing of restated
financial statements and prior and future periodic reports. These
forward-looking statements are based on current expectations as of the date of
this filing and subject to known and unknown risks and uncertainties that
could cause actual results to differ materially from those expressed or
implied by such statements, including but not limited to: the impact of
restatement of financial statements for prior periods; the impact of delays in
Avid's completion of its financial statements and the filing of its periodic
reports; the impact of the previously disclosed ongoing SEC and Department of
Justice inquiries; the impact of the ongoing evaluation and these inquiries on
Avid's financial results and financial statements for the quarter ended June
30, 2013 and prior and future periods, including the costs associated with the
evaluation and inquiries; whether Avid will be granted additional time to
regain compliance with NASDAQ's continued listing requirements, Avid's ability
to regain compliance with NASDAQ's continued listing requirements; the
identified material weakness in Avid's internal controls; recent changes in
Avid's management; Avid's ability to execute its strategic plan and meet
customer needs; its ability to produce innovative products in response to
changing market demand, particularly in the media industry; risks related to
litigation; competitive factors; history of losses; fluctuations in its
revenue, based on, among other things, Avid's performance in particular
geographies or markets, fluctuations in foreign currency exchange rates and
seasonal factors; adverse changes in economic conditions; and Avid's
liquidity. Moreover, the business may be adversely affected by future
legislative, regulatory or tax changes as well as other economic, business
and/or competitive factors. The risks included above are not exhaustive. Other
factors that could adversely affect Avid's business and prospects are
described in the filings made by the Company with the SEC.

Avid expressly disclaims any obligation or undertaking to update or revise any
forward-looking statements whether as a result of new information, future
events or otherwise.

About Avid

Through Avid Everywhere, Avid delivers the industry's most open, innovative
andcomprehensivemedia platform connecting content creation
withcollaboration, assetprotection, distribution and consumption for the
most listened to, most watched and most loved media in the world—from the most
prestigious and award-winning feature films, music recordings,andtelevision
shows,to live concertsand news broadcasts.Industry leading solutions
include Pro Tools®, Media Composer®, ISIS®, Interplay®, and Sibelius®.For
more information about Avid solutions and services,visitwww.avid.com,
connect with Avid onFacebook,Twitter,YouTube,LinkedIn,Google+; or
subscribe toAvid Blogs.

© 2013 Avid Technology, Inc. All rights reserved. Avid, the Avid logo, Media
Composer, Pro Tools, Interplay, ISIS, and Sibelius are trademarks or
registered trademarks of Avid Technology, Inc. or its subsidiaries in the
United States and/or other countries. The Interplay name is used with the
permission of the Interplay Entertainment Corp. which bears no responsibility
for Avid products. All other trademarks are the property of their respective
owners.

Contact:

Avid
Media Contact
Lisa Kilborn, 978-640-3230
lisa.kilborn@avid.com
or
Investor Contact
Tom Fitzsimmons, 978-640-3346
tom.fitzsimmons@avid.com
 
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