CASES
Research In Motion Limited
Class Period: Dec 16, 2010 to Apr 28, 2011
Lead Plaintiff Deadline: Aug 12, 2011 + Deadline passed
Summary of Case:
A securities class action has been filed against Research In Motion Limited ("RIM" or the "Company") on behalf of all persons who purchased or otherwise acquired the common stock of RIM from December 16, 2010 to April 28, 2011. This case has been filed in the USDC - New York (Southern).
The Complaint alleges as follows: Throughout the Class Period, defendants failed to disclose material adverse facts about the Company's true financial condition, business and prospects. Specifically, the complaint alleges that: (a) the Company failed to inform investors that its aging product line and inability to introduce new products to the market was negatively impacting the Company's business and margins; (b) due to execution issues, product delays, and lackluster product launches, defendants' knew that shipments of Blackberry smart phones would be down and inventory would be up; and (c) as a result of the foregoing, defendants' statements regarding the Company's financial performance and expected earnings were false and misleading and lacked a reasonable basis when made.
On April 28, 2011, RIM issued a press release disclosing lowered first quarter 2012 guidance for the three months ended May 28, 2011. On this news, RIM's common stock plummeted 14%, or $7.94 per share, to close at $48.65 per share on April 29, 2011, on heavy trading volume.
Case Notes: On May 26, 2011, on behalf of a different plaintiff, Robbins Geller filed a similar class action against the Company. That action was voluntarily dismissed, without prejudice, on May 31, 2011.
If you purchased this company's shares during the Class Period and suffered a loss or for further information about the case, please review the links below.