Prudential Financial, Inc.

Lead Plaintiff Deadline: May 11, 2009 + Deadline passed

Summary of Case:

A securities class action has been filed against Prudential Financial, Inc. (Ticker: PHR) ("Prudential" or the "Company") on behalf of all persons who acquired depositary shares of the 9% Junior Subordinated Notes (the "Securities") of Prudential pursuant and/or traceable to a false and misleading registration statement and prospectus (collectively, the "Registration Statement") issued in connection with the Company's June 2008 initial public offering of the Securities (the "Offering").
  
The complaint alleges that defendants consummated the Offering pursuant to the false and misleading Registration Statement, selling 36.8 million shares of the Securities at $25 per share, for proceeds of over $920 million. The Registration Statement incorporated Prudential's financial results for 2007 and the first quarter of 2008. Prudential ultimately announced huge writedowns associated with its exposure to subprime mortgages and the goodwill on the Company's books associated with certain of its subsidiaries, causing the price of the Securities to decline.  

According to the complaint, the true facts which were omitted from the Registration Statement were: (a) the Company's asset-backed securities collateralized with subprime mortgages were impaired to a greater extent than the Company had disclosed; (b) the Company's goodwill associated with certain of its subsidiaries was impaired to a greater extent than the Company had disclosed; (c) defendants failed to properly record losses for impaired assets; and (d) the Company's internal controls were inadequate to prevent the Company from improperly reporting its impaired assets.

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.