The company confirmed that it has received a Nasdaq staff determination letter re-iterating that its annual report on form 10-K - which indicates a failure to fulfill Nasdaq filing requirements - for the 12 months up to the end of March, 2007, is still outstanding. In view of the Nasdaq action, the company said that it had requested an appeal and hearing before a Nasdaq Listing Qualifications Panel to review the company's situation. This action in turn delays further action by Nasdaq, fending off the threat of possible suspension from trading on the Nasdaq exchange, which would have gone into force today, pending the appeal. The company also re-iterated that it now intends to file its Form 10-K no later than July 16, when it expects that all its accounting processes will be in order. The move follows the company's announcement of unaudited figures for the 12-month period, back on June 29, which stated that sales for the fiscal year 2007 had increased 26 percent to reach $134.36m, while unaudited net income had dipped significantly from $22.73m the previous year, to reach $2.88m this year. Although the company has come a long way in a short time, the drop in profit illustrates the big administrative problems the company has incurred during the year in trying to match the significant expansion it has experienced. However, the company says that it is now making up for delays in its administrative and accounting processes, thanks partly to a major reshuffle of its executive board. Likewise, the recent sale of its most profitable brand, Perry Ellis, to the Falic Fashion Group, is expected to help put the company in better shape for the future, helping to consolidate and restructure its position in the hope of creating a stronger and healthier operation. In 2005 strong growth in sales of the company's Paris Hilton fragrances and branded designer goods helped sales turnover more than double, from $47.44m in 2004 to $111.77m. However 2006 was a different tale, with sales growth slowing markedly in the last half of the year, something the company blamed on slowing retail activity in the US market. Parlux, is the license holder to big fragrance names such as XOXO, Ocean Pacific and tennis star Andy Roddick, and really hit the big-time by licensing deal to produce fragrances and accessories using the name and image of media figure and heiress Paris Hilton.