Press release from Business Wire
Lieff Cabraser Reminds Tile Shop Holdings, Inc. Investors of Upcoming Deadline in Class Action Litigation – TTS
Thursday, December 19, 2013
Lieff Cabraser Reminds Tile Shop Holdings, Inc. Investors of Upcoming Deadline in Class Action Litigation – TTS09:00 EST Thursday, December 19, 2013
SAN FRANCISCO (Business Wire) -- Lieff, Cabraser, Heimann & Bernstein, LLP reminds investors of the January 14, 2014 deadline to move for appointment as lead plaintiff in the securities class litigation brought on behalf of purchasers of common stock and call options and sellers of put options of Tile Shop Holdings, Inc. (“Tile Shop” or the “Company”) (NasdaqGS:TTS) between August 22, 2012 and November 13, 2013, inclusive (the “Class Period”).
If you purchased common stock or call options or sold put options of Tile Shop during the Class Period, you may move the Court for appointment as lead plaintiff by no later than January 14, 2014. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the action will not be affected by your decision of whether to seek appointment as lead plaintiff. You may retain Lieff Cabraser, or other attorneys, as your counsel in the action.
Tile Shop investors who wish to learn more about the action and how to seek appointment as lead plaintiff should click here or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.
Tile Shop is a specialty retailer of manufactured and natural stone tiles, setting and maintenance materials, and related accessories in the United States.
The complaints allege that, during the Class Period, defendants issued materially false and misleading statements regarding the Company's financial performance and future prospects and failed to disclose that, among other things, Tile Shop had been acquiring the vast majority of its product from China and paying below-market prices for product that contained dangerously high lead levels. The complaints also allege that defendants concealed that Tile Shop was using phantom suppliers to overstate inventories, understate cost of sales, and overstate gross profits in its financial reports.
On October 30, 2013, Tile Shop announced disappointing results for the third quarter of 2013. On November 14, 2013, research and investment firm Gotham City Research (“Gotham”) published a report disclosing that, unbeknownst to investors, Tile Shop had acquired material amounts of its product sold from a Chinese supplier owned and operated by the brother-in-law of the Company's CEO. Gotham claimed that Tile Shop had inflated its earnings by 200% during fiscal year 2013 alone by using China-based “phantom” suppliers. On this news, Tile Shop stock price fell 39%, or $8.27 per share, to close at $12.95 per share on November 14, 2013, on usually high trading volume.
About Lieff Cabraser
Lieff Cabraser is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.
Since 2003, the National Law Journal has selected Lieff Cabraser as one of the top plaintiffs' law firms in the nation.
For more information about Lieff Cabraser and the firm's representation of investors, please visit http://www.lieffcabraser.com.
Lieff Cabraser Heimann & Bernstein, LLP
Sharon M. Lee, 415-956-1000