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Revlon’s Financial Woes Attract Attention from Wall Street Regulators

Beauty company's shares are suspended on the New York Stock Exchange.

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By: TOM BRANNA

Editor

The New York Stock Exchange LLC announced that the staff of NYSE Regulation has determined to suspend trading in the Class A Common Stock of Revlon, Inc. (ticker symbol REV) from the NYSE. Trading in Revlon’s Class A Common Stock was suspended after the market close on the NYSE on October 20, 2022. The staff suspended trading in the Company’s Class A Common Stock because the Committee for Review of the Board of Directors of the Exchange had issued a decision in which it upheld the Exchange’s previously announced determination to delist Revlon’s Class A Common Stock.

The NYSE previously announced on June 16, 2022 that it had commenced delisting proceedings with respect to Revlon’s Class A Common Stock that same day, after the company had disclosed its intention to file for protection under Chapter 11 of the Bankruptcy Code. Revlon had the right to request a review of this delisting determination by the Committee.

Accordingly, the NYSE has suspended trading in the Class A Common Stock and will now file a delisting application with the Securities and Exchange Commission.

For years, Revlon has taken a beating on the Street and in the stores. Chairman Ron Perelman over-leveraged the one-time leader in the mass color cosmetics. Problems were compounded by a series of C-suite missteps. Perelman's daughter, Debra Perelman, is the current president and CEO. Last year, Revlon's sales rose 9.2% to $2.0 billion, but the weight of $3 billion in long-term debt is a drag on the company's prospects. Earlier this year, rumors swirled about a possible takeover, but the chatter has quieted in recent months.

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