New York City -- Manhattan Scientifics Inc. (OTC BB: MHTX) announced today that the company will miss its March 31, 2007 SEC filing deadline for its annual report on Form 10KSB for the year ending December 31, 2006. Failure to file a Form 10KSB on a timely basis will result in the company’s stock becoming ineligible for quotation on the Over-the-Counter Bulletin Board. In the event of such ineligibility, management believes that the company’s stock will trade on the Electronic Pink Sheet Quotation System.
Management reported that it lacked sufficient funds to engage its auditors to complete an audit of the company’s financial statements, an integral part of Form 10KSB. As reported in its prior SEC filings, the company will need to raise capital in private placement transactions in order to sustain its operations. In the event the company is successful in raising the required capital, management intends to use part of the proceeds to regain compliance with the SEC reporting requirements. However, there can be no assurance that the company will be able to obtain such capital or to raise capital on terms favorable to the company.