"The complaint alleges that, during the Class Period, certain defendants systematically and strategically manipulated GMCR’s revenues. To do so, defendants used one of GMCR’s key fulfillment vendors, M. Block & Sons (“MBlock”), as a captive warehouse to harbor expired, excessively manufactured, or otherwise unsold product. Pursuant to the fraudulent scheme, GMCR improperly booked revenues associated with falsified sales orders for hundreds of millions of dollars in K-Cup and Keurig Brewer products, which resulted in the material overstatement of the Company's profits, inventory, and product demand levels. GMCR also fraudulently overstated its assets in proportion to its fictitious revenues by carrying the proceeds of phantom sales as assets on its balance sheet throughout the Class Period."
ya, i read about that over a week ago.
i didn't feel it worth mentioning. of course they're going to do that, the stock dropped like 60% in 1 month. they're angry that they lost their money. and they want someone to pay for it. tell me something i don't know.
the real fraud here is einhorn, which most people know already as you can see by the stock price movement. that's also why the stock tanked, because of einhorn's manipulated w/his balderdash slideshow. that's who they should be sueing. but when they find out what all of the analysts already know: that gmcr's books are clean and their eps growth is on target, i'm sure they'll have plenty motivation to turn their attention, shall we say, elsewhere. to a more appropriate source.
This is the 3rd class action announced in about 10 days but GMCR Investor Services says nothing. I like the company but who ever runs IR needs to be sent packing. What do they do? Anything?
"This is the 3rd class action announced in about 10 days but GMCR Investor Services says nothing. I like the company but who ever runs IR needs to be sent packing. What do they do? Anything?"
Just FYI, there are not 3 new class actions filed, there is only one new one filed. The other law firms are simply announcing the new lawsuit and soliciting for shareholders to retain them to be in the new lawsuit. You have to read the "announcments" from the law firm's carefully. If you are a member of Pacer (federal court online system), you can see there is only one new case that was filed 11-29-2011. The other law firms are just jumping on--or trying to--the existing train
SAN FRANCISCO--(BUSINESS WIRE)-- The law firm of Lieff Cabraser Heimann & Bernstein, LLP is investigating potential illegal conduct as alleged in a class action lawsuit brought on behalf of purchasers of the common stock of Green Mountain Coffee Roasters, Inc. (“GMCR” or the “Company”) (Nasdaq: GMCR - News) between February 2, 2011 and November 9, 2011, inclusive (the “Class Period”), including purchasers of GMCR’s common stock pursuant and/or traceable to the Company’s public offering on or around May 5, 2011 (the “Offering”).
Link to PR