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Press release from Business Wire

The Securities Arbitration Law Firm of Klayman & Toskes Launches Investigation On Behalf of Patriot Coal Corp. Shareholders With Large Concentrated Positions

Wednesday, July 11, 2012

The Securities Arbitration Law Firm of Klayman & Toskes Launches Investigation On Behalf of Patriot Coal Corp. Shareholders With Large Concentrated Positions18:51 EDT Wednesday, July 11, 2012 NEW YORK (Business Wire) -- The Securities Arbitration Law Firm of Klayman & Toskes, P.A. (“K&T”), www.nasd-law.com, announced today that it is investigating claims on behalf of Patriot Coal Corp. (NYSE: PCX) (PCXCQ.MX) shareholders who sustained investment losses due to an over-concentration of Patriot Coal stock. Trading at about $80 per share in June of 2008, the share price of Patriot Coal has plummeted and is now essentially worthless. The company filed for bankruptcy protection earlier this week. As a result, investors who held concentrated stock positions in Patriot Coal during this time period have sustained significant losses. Since 2000, K&T has pioneered the representation of High Net Worth (“HNW”) and Ultra-HNW clients who sustained investment losses as a result of holding concentrated positions in a single security or sector, in a full-service brokerage account. The clients we represented and continue to represent include founders of public companies and key employees from virtually every industry who received large grants of stock options or Rule 144 restricted stock. The claims, filed in the Financial Industry Regulatory Authority (“FINRA”) Arbitration Department f/k/a NASD and NYSE, focused on the mismanagement of the clients' portfolios given the fact that there were risk management strategies that would have protected the value of the concentrated portfolio. Such risk management strategies include stop loss and limit orders, protective puts and collars. Stop loss orders, limit orders and protective puts provide an account with downside protection and an exit strategy should the stock decline in value. A hedge strategy, known as a “zero cost” collar, would have created a range of value that the portfolio would have maintained irrespective of the fluctuation and direction of the underlining stock price. The failure to use risk management strategies as well as the failure to “hedge” the value of a concentrated portfolio directly exposes an investor's concentrated position to the fluctuations in the volatile securities markets. If you wish to discuss this announcement or sustained losses of $750,000 or more as a result of holding a concentrated position in Patriot Coal stock, please contact Steven D. Toskes, Esquire or Jahan K. Manasseh, Esquire of Klayman & Toskes, P.A., at 888-997-9956, or visit us on the web at http://www.nasd-law.com. Klayman & Toskes, P.A.Steven D. Toskes, Esquire or Jahan K. Manasseh, 888-997-9956