FlyExclusive Faces NYSE Compliance Issues Over Delayed Annual Report Filing

FlyExclusive (JRE, Kinston), a prominent business jet operator, has been flagged by the New York Stock Exchange (NYSE) for non-compliance with its listing standards. The issue arose after the company failed to file its 2023 Annual Report on Form 10-K by the required deadline. FlyExclusive disclosed to its stakeholders on April 22 that it received the non-compliance notice from the NYSE on April 17.

This development follows an earlier disclosure this month when FlyExclusive notified the Securities and Exchange Commission (SEC) that it would be unable to submit its financial results for calendar year 2023 and the fourth quarter on time. The interim CFO, Billy Barnard, explained in a Form 12-25b filing that completing the financial statements by the due date would require unreasonable effort and expense. Although the company had hoped to file by April 16, following an extension period allowed by Form 12b-25, it was unable to meet this revised deadline.

FlyExclusive cited its recent transition to a publicly traded entity and its status change to a taxable corporation in December 2023 as factors necessitating additional time to finalize its financial reporting for the fourth quarter of fiscal year 2023.

The NYSE has given FlyExclusive a six-month period, starting April 16, to file the overdue Form 10-K and regain compliance with NYSE listing standards. Should FlyExclusive fail to meet this deadline, the NYSE may, at its discretion, grant an extension of up to six additional months, depending on the specifics of the company’s situation.

Based in North Carolina, FlyExclusive is known as one of the largest operators of Cessna Aircraft Company Citations globally. The company’s fleet, as per ch-aviation fleets data, includes a range of Citation models such as eight Encore+, thirty-three Excels, fourteen Citation Jet 3s, seven 3+, nine Sovereigns, thirteen X, seven XLS, and three XLS+ aircraft.

This delay in filing and subsequent notice from the NYSE highlights the challenges FlyExclusive faces in adapting to the regulatory and operational demands of being a publicly traded company. As the company works toward resolving these issues, it continues to engage significant resources towards completing its financial statements and regaining good standing on the NYSE.