Press release from Business Wire
Law Offices of Howard G. Smith Announces Lead Plaintiff Deadline in the Class Action Lawsuit Against JAKKS Pacific, Inc.
Friday, August 16, 2013
Law Offices of Howard G. Smith Announces Lead Plaintiff Deadline in the Class Action Lawsuit Against JAKKS Pacific, Inc.23:32 EDT Friday, August 16, 2013
BENSALEM, Pa. (Business Wire) -- Law Offices of Howard G. Smith announces that investors of JAKKS Pacific, Inc. (“JAKKS” or the “Company”) (NASDAQ:JAKK) have until September 23, 2013 to move the Court to serve as lead plaintiff in the securities fraud class action lawsuit filed in the United States District Court for the Central District of California on behalf of a class (the “Class”) comprising all purchasers of JAKKS securities between July 17, 2012 and July 17, 2013 (the “Class Period”).
JAKKS develops, produces and markets toys and consumer products in the United States and internationally. The Company offers traditional toys and electronics as well as novelty and seasonal toys and action figures and accessories primarily based on the Monsuno, Batman, Ultimate Fighting Champion, Total Non-Stop Action wrestling and Pokémon franchises. The Complaint alleges that defendants issued materially false and misleading statements or failed to disclose material adverse facts throughout the Class Period concerning the Company's financial condition and prospects.
On July 17, 2013 JAKKS announced its second quarter 2013 financial results, which included a net loss of $46.9 million for the quarter, and a reduction in its full-year 2013 financial guidance. According to the Company, “charges for license minimum guarantee shortfalls of $14.1 million and inventory impairment of $12.2 million” contributed to the disappointing results, in addition to “poor performance of several of our key properties…along with unusually cool weather that affected seasonal toy sales leading to more aggressive markdowns at retail.” As a result of this news, on July 18, 2013 the price of JAKKS stock fell approximately 39% below the previous day's closing price of $11.48 per share, to a closing price of $7.00 per share on July 18, 2013, on extremely heavy volume.
If you are a member of the Class described above, you have certain rights and have until September 23, 2013 to move for lead plaintiff status. To be a member of the class you need not take any action at this time, or may retain counsel of your choice. If you purchased shares prior to the Class Period and wish to learn more concerning your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, Toll Free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at http://www.howardsmithlaw.com.
Law Offices of Howard G. Smith
Howard G. Smith, Esquire