When it delists, you make more money if it delists lower than the current value, and lose money if it delists higher. You also do not pay commission on the delist, so if you are certain it will drop, don't cover it (saving 1% if it is worth more than $2 or 2c/share if it is worth less than $2)
From the glossary:
Short Selling
On the Hollywood Stock Exchange, almost anything goes, including using the failures of others to make a profit. If the next big blockbuster film looks to be an overhyped, overrated mess, you can still make a profit by shorting. Short selling allows you to profit when prices of MovieStock, StarBonds, and other securities go down. The simple rule behind short selling is that if you think a security is overvalued and the price is going to go down, you should sell the security "short." The value of a shorted security is the (Purchase Price x # of Shares) + Profit. The profit on a shorted security is (Purchase Price x # of Shares) - (Current Price x # of Shares). So total value is (purchase * shares) + [(purchase * shares)-(current * shares)].