The Globe and Mail

Go to the Globe and Mail homepage

Jump to main navigationJump to main content

Press release from Business Wire

Robbins Geller Rudman & Dowd LLP Files Class Action Suit Against Green Mountain Coffee Roasters, Inc.

Monday, May 07, 2012

Robbins Geller Rudman & Dowd LLP Files Class Action Suit Against Green Mountain Coffee Roasters, Inc.15:59 EDT Monday, May 07, 2012 NEW YORK (Business Wire) -- Robbins Geller Rudman & Dowd LLP (“Robbins Geller”) (http://www.rgrdlaw.com/cases/gmcr/) today announced that a class action has been commenced in the United States District Court for the District of Vermont on behalf of purchasers of Green Mountain Coffee Roasters, Inc. (“GMCR” or the “Company”) (NASDAQ:GMCR) common stock during the period between February 2, 2012 and May 2, 2012 (the “Class Period”). If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel, Samuel H. Rudman or David A. Rosenfeld of Robbins Geller at 800/449-4900 or 619/231-1058, or via e-mail at djr@rgrdlaw.com. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.rgrdlaw.com/cases/gmcr/. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. The complaint charges GMCR and certain of its officers and directors with violations of the Securities Exchange Act of 1934. GMCR describes itself as a leader in the specialty coffee and coffee maker businesses. The complaint alleges that, during the Class Period, defendants issued materially false and misleading statements regarding the Company's growth and demand for its products. Specifically, defendants misrepresented and/or failed to disclose the following adverse facts: (i) that demand for the Company's brewers and portion packs had slowed; (ii) that the Company's models for predicting consumer demand were flawed and ineffective; and (iii) as a result of the foregoing, Defendants lacked a reasonable basis for their positive statements about the Company and its prospects. On May 2, 2012, after the close of regular market trading, GMCR issued a press release announcing its financial performance for the second quarter of fiscal 2012, which fell short of its prior guidance and also revised downward the Company's guidance for the full fiscal year 2012. Following this announcement, on the next day of trading, May 3, 2012, shares of GMCR stock basically halved themselves – tumbling $23.65 per share, or 48%, to close at $25.87 per share from the prior day's close of $49.52 per share. Plaintiff seeks to recover damages on behalf of all purchasers of GMCR common stock during the Class Period (the “Class”). The plaintiff is represented by Robbins Geller, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud. Robbins Geller represents U.S. and international investors and consumers in contingency based complex litigation. With nearly 200 attorneys in nine offices, the firm represents more institutional investors and pension funds in securities and corporate litigation than any other law firm in the world. Not only has the firm obtained six of the largest recoveries in history, but the firm has been ranked number one in the number of shareholder class action recoveries in MSCI's Top SCAS 50 every year since 2003. According to Cornerstone Research, the firm's recoveries have averaged 35% above the median for all firms over the past seven years (2005-2011). Please visit http://www.rgrdlaw.com for more information. Robbins Geller Rudman & Dowd LLPSamuel H. Rudman, 800-449-4900orDavid A. Rosenfelddjr@rgrdlaw.com