April 16, 2010 (FinancialWire) — ITEX Corp. (OTCBB: ITEX) said it will effect a one-for-five reverse stock split of its common stock as of 12:01 a.m. ET on May 3.

As a result of the reverse stock split, every five shares of ITEX's common stock that are issued and outstanding immediately prior to the effective time will be automatically combined into one issued and outstanding share. The number of shares of ITEX's common stock issued and outstanding will be reduced from 18,027,914 shares to around 3,605,307 shares.

ITEX said it filed an amendment to its Articles of Incorporation to effect the reverse stock split.  The authorized shares will be proportionally reduced from 45 million to nine million shares.

Effective May 3, ITEX's common stock will begin trading on the OTC Bulletin Board on a split-adjusted basis under the symbol "ITEXD" for a period of 20 trading days.  Thereafter, the firm’s trading symbol will revert back to the original symbol, "ITEX."

Steven White, ITEX chairman and CEO said that the reverse split will convert a couple hundred small stock positions into a fractional share, which the company will cash out.  He said that eliminating these stockholders, “will provide better efficiencies and lower costs for the ongoing management of our shareholder base, and positions us for other stockholder value strategies."

Washington-based ITEX runs a network of participating member businesses. Members seek to increase sales through a distribution channel managed by franchisees, licensees and corporate-owned locations, by utilizing ITEX dollars to exchange goods and services.  

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