March 1, 2010 (FinancialWire) — Sielox, Inc. (OTCBB: SLXN) said it plans to file a form 15 with the Securities and Exchange Commission on or about March 12, 2010 to terminate the registration of its common stock.

As a result, the company said it will cease to file current and periodic reports with the SEC. Sielox said it is eligible to deregister its common stock because it has fewer than 300 stockholders of record.

In a statement, Sielox said that the decision to deregister was made by the company’s board of directors based on the recommendation of a Special Committee of independent directors that thoroughly examined the issue.

It said that the factors considered by the board and the special committee included, among other things, the difficult economic environment, the high demands on management time arising from compliance with the company’s Exchange Act reporting requirements and the provisions of the Sarbanes-Oxley Act of 2002, and the substantial cost savings the company expects to realize from deregistration.

Sielox said the decision to deregister is consistent with other cost-cutting measures that the firm has taken in order to more effectively align the company’s operating cost structure with changing market conditions. The company said it expects to realize more than $240,000 annually in direct cost savings from deregistration.

It said that deregistration will also significantly minimize the administrative burden associated with being a SEC reporting company, permitting the company’s management team to better focus its attention and resources on existing plans to increase revenue including, among other things, the continued development of the company’s customer base and product lines.

New Jersey-based Sielox develops, designs and distributes a range of security solution products such as surveillance cameras, lenses, digital video recorders, high speed domes and access control systems.

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