The company issued the clarification today as the result of a report that a large bank had incorrectly informed a shareholder that the company had elected to opt into the electronic, paperless share certificate registration system, and on that basis the bank refused to deliver certificates. The bank then used a different (but equally false) claim as a means of deflecting the investor's request again. The company notes that the bank was in error.
"We understand that many banks prefer the paperless system of share certificates to traditional paper certificates. Many do so for their own purposes," said Patrick Byrne, CEO and chairman of Overstock.com. "However convenient that may be for banks, we believe that shareholders, if they prefer, should have the option to hold their shares in paper certificate form. We also believe that legally, investors do have this right. Through our transfer agent services, we will continue to provide a paper certificate option to the shareholders who express that preference, and encourage investors to disbelieve and question those who tell them otherwise."
About Overstock.com Overstock.com is a technology-based retail company offering customers a wide variety of high-quality products, at great value, with superior customer service. The company provides its customers with the opportunity to shop for bargains by offering suppliers an alternative inventory distribution channel. Headquartered in Salt Lake City, Overstock.com is a publicly traded company listed on the NASDAQ Global Market System and can be found online at http://www.overstock.com and http://www.o.co. Overstock.com regularly posts information about the company and other related matters on its website under the heading "Investor Relations."
Overstock.com®, O.co®, Worldstock Fair Trade® and Club O Rewards® are registered trademarks of Overstock.com, Inc. O.info™, Club O™, and Club O Rewards Dollars™ and Your Savings Engine™ are trademarks of Overstock.com, Inc.
This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements include, but are not limited to, statements regarding the issuance of paper stock certificates. Our Form 10-K for the year ended December 31, 2011, our subsequent quarterly reports on Form 10-Q, or any amendments thereto, and our other subsequent filings with the Securities and Exchange Commission identify important factors that could cause our actual results to differ materially from those contained in our projections, estimates or forward-looking statements.