Finkelstein Thompson LLP Announces Investigation of Zale Corporation

• Press Release
• Source: Finkelstein Thompson LLP
• On 1:11 pm EST, Monday November 2, 2009

WASHINGTON--(BUSINESS WIRE)--Finkelstein Thompson LLP announces that it is investigating potential claims on behalf of shareholders of Zale Corporation ("Zale" or the "Company") (NYSE:ZLC - News) arising from the Company’s recent announcement of a Securities and Exchange Commission (“SEC”) investigation into the Company’s expense accounting relating to recent restatements of 2008 and 2009 earnings.

Related Quotes

Symbol	Price	Change
ZLC	4.97	+0.47

{"s" : "zlc","k" : "c10,l10,p20,t10","o" : "","j" : ""}

During its fiscal fourth-quarter earnings call on October 30, 2009, Zale revealed that recent financial audits had uncovered internal control and accounting issues and that the Company had failed to record certain advertising costs, requiring a $9 million adjustment to reported profits for 2009. Zale further stated that the restatements would reduce its fiscal 2008 earnings by $10.2 million to a loss of $6.5 million. For fiscal 2009, these adjustments amounted to a charge of $7.6 million, and Zale’s losses for the year totaled $189.5 million. Zale further disclosed that the SEC is investigating the accounting issues prompting these restatements.

When this news was revealed, Zale’s share price plummeted nearly 26% on October 30, 2009.

If you are interested in discussing your rights as a Zale shareholder, or have information relating to this investigation, please contact Finkelstein Thompson's Washington, DC offices at (877) 337-1050 or by email at contact@finkelsteinthompson.com.

Finkelstein Thompson LLP has spent over three decades delivering outstanding representation to institutional and individual clients in financial litigation, and has been appointed as lead or co-lead counsel in dozens of shareholder class actions. Indeed, the firm has served in leadership roles in cases that have recovered over $1 billion for investors and consumers.

To learn more about Finkelstein Thompson LLP, please visit our web site at www.finkelsteinthompson.com. Attorney advertising. Prior results do not guarantee similar outcomes.

Finkelstein Thompson LLP
Donald Enright, 202-337-8000