OCZ stock falling hard as company spooks investors

The Register reports OCZ Technology's stock is under pressure as investors are worried about the company's cash position. Last month CEO Ryan Petersen left the company, reportedly because he was ousted by the board for a series failures including costly customer incentive programs, the failure to secure reliable NAND chip supplies, and the mishandling of acqusition talks with Seagate.

Ralph Schmitt was appointed as CEO last week, but the company's stock continued to fall as it announced that the customer incentive program would result in a significant loss.

More bad news came out on Friday as OCZ disclosed it still can not file its 10-Q quarterly report because the company's financial statements are still under review, because the exact cost of the customer incentive programmes remains a mystery.

Under brand new CEO Ralph Schmitt, OCZ has disclosed it still cannot file its 10-Q quarterly report to the SEC:

It was unable to file its Form 10-Q for the second quarter of fiscal year 2013 (Q2'13), which ended on August 31, 2012, on time as the Company's financial statements are still under review. … While we are hopeful that the review will be completed in the near future, we cannot currently estimate the exact date. Thus we are also unable to estimate the filing date of the Form 10-Q.
The complicating factor is a set of customer incentive programmes, the cost of which are still unknown.

OCZ's stock is currently trading at $1.32 after collapsing nearly 60 percent in five trading days.