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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 21, 1998
INNOVO GROUP INC.
(Exact name of registrant as specified in charter)
Delaware 0-18926 11-2928178
(State or other jurisdiction (Commission (IRS Employer
of Incorporation) File Number) Identification NO.)
27 North Main Street, Springfield, Tennessee 37172
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (615)384-0100
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Item 7. Financial Statements and Exhibits.
(c) The following Exhibits are filed with or incorporated by reference in
this Report as indicated below:
99.1 Press Release dated October 21, 1998.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
The registrant has duly caused this report to be signed on its behalf by the
Undersigned hereunto duly authorized.
INNOVO GROUP INC.
(Registrant)
By: /s/ L.E. Smith
L.E. Smith, Chairman and
Chief Executive Officer
Date: October 21, 1998
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Exhibit 99.1
Press Release dated: October 21, 1998
NEWS RELEASE
INNOVO TO MEET NASDAQ'S
TANGIBLE NET WORTH REQUIREMENTS
SPRINGFIELD, TENNESSEE, October 20, 1998--INNOVO GROUP
INC. (NASDAQ Symbol: INNO), a manufacturer and supplier to
national and international retailers, including Wal-Mart,
K-Mart, Michael's, Hobby Lobby, Dollar General, Goody's and
Fabri-Center, was notified by NASDAQ on 10-19-98 that it no
longer met the Net Tangible Asset requirements as reported
on it's most recent public filing. The company must provide
NASDAQ with its definitive plan to achieve compliance by
October 30, 1998.
L.E. Smith stated that the company has already taken
action to meet the requirements with the sale of $1,798,000
of its common stock to FHD-II, LLC. This equity infusion
was closed on 10-19-98 and gives Innovo a Net Tangible
Worth of $3,305,000 as of this date. NASDAQ has been
notified and the matter should be resolved.
Innovo Group Inc. designs, markets, manufacturers and
distributes fashion and sports licensed nylon and canvas
products for the multi-billion crafts industry and retail
sector in the United States and Europe. Under licensing
agreements, the Company's sports lines feature the designs
of the NBA, NFL, Major League Baseball, NHL, numerous
collegiate teams, Walt Disney and Warner Brothers. Innovo
also has certain exclusive and non-exclusive manufacturing
and distribution rights for NASCAR licensed products.
This press release may contain forward-looking
statements made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995.
Investors are cautioned that such forward-looking
statements involve risks and uncertainties, including,
without limitation, continued acceptance of the Company's
product, product demand, competition, capital adequacies,
access to additional capital if required and other risks
and uncertainties detailed from time to time in the
Company's periodic reports including Quarterly Reports on
form 10-Q and Annual Reports on form 10-K.
Listed: NASDAQ SmallCap Exchange
Symbol: INNO
Contact: Jay Furrow, V.P. of Corporate Development, (615) 384-0100
