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SEC Division of Corporate Finance issues sample comment letter to companies with extreme price volatility

In the wake of recent market volatility in certain highly-shorted stocks, the SEC’s Division of Corporate Finance (Corp Fin) released guidance last week urging impacted companies to provide specific disclosures about their current finances, market events, and the potential effect of share sales on investors. Corp Fin also provided a sample comment letter it may send to companies during times of extreme price volatility.

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