Press release from PR Newswire
Walter Energy, Inc. Investor Alert: The Briscoe Law Firm and Powers Taylor, LLP Investigate Possible Breaches of Fiduciary Duty by the Officers and Directors of Walter Energy, Inc.
Friday, January 27, 2012
Walter Energy, Inc. Investor Alert: The Briscoe Law Firm and Powers Taylor, LLP Investigate Possible Breaches of Fiduciary Duty by the Officers and Directors of Walter Energy, Inc.13:09 EST Friday, January 27, 2012DALLAS, Jan. 27, 2012 /PRNewswire/ -- Former United States Securities and Exchange Commission attorney Willie Briscoe, founder of The Briscoe Law Firm, PLLC, and the securities litigation firm of Powers Taylor, LLP announce that the firms are investigating legal claims against the officers and Board of Directors of Walter Energy, Inc. ("Walter Energy" or "WLT") (NYSE: WLT) related to potential securities violations between April 20, 2011 and September 21, 2011 (the "Class Period").(Logo: http://photos.prnewswire.com/prnh/20111111/DA05320LOGO)If you are an affected investor and you want to learn more about the lawsuit or join the action, contact Patrick Powers at Powers Taylor, LLP, toll free (877) 728-9607, via e-mail at firstname.lastname@example.org, or Willie Briscoe at The Briscoe Law Firm, PLLC, (214) 706-9314, or via email at WBriscoe@TheBriscoeLawFirm.com. There is no cost or fee to you.In a recently filed federal class action complaint, Walter Energy and certain of its officers and directors were charged with violating the Securities Exchange Act of 1934. Specifically, the complaint alleges that various public statements by the defendants during the Class Period were each materially false and misleading in that defendants knew or recklessly disregarded that: (i) Walter Energy was experiencing so-called "squeeze" events in Alabama and lower coal transportation rates in Canada, which significantly reduced the company's coal production; (ii) Walter Energy's commitment to ship more than 700,000 tons of coal in the second quarter at first quarter sales prices would result in a material adverse effect on the company's average sales prices and operating results during the second quarter; and (iii) Walter Energy was experiencing a significant decline in its margins and profitability. Based on the foregoing, it is claimed that defendants lacked a reasonable basis for their positive statements about the company and its business prospects during the Class Period. As a result, when Walter Energy issued a press release on September 21, 2011 attempting to revise sales expectations and "enhance" its historical statistical disclosure, Walter Energy shares dropped from $75.00 per share to $66.25 per share on heavy trading volume. The Briscoe Law Firm, PLLC is a full service business litigation, commercial transaction, and public advocacy firm with more than 20 years of experience in complex litigation and transactional matters. Powers Taylor, LLP is a boutique litigation law firm that handles a variety of complex business litigation matters, including claims of investor and stockholder fraud, shareholder oppression, shareholder derivative suits, and security class actions.SOURCE Powers Taylor, LLP