LOS ANGELES--(BUSINESS WIRE)--
Glancy Prongay & Murray LLP (“GPM”) announces an investigation on behalf Flowserve Corporation (“Flowserve” or the “Company”) (NYSE: FLS) for allegedly issuing false and/or misleading information to Flowserve investors. To obtain information or aid in the investigation, please visit the Flowserve investigation page on our website at www.glancylaw.com/case/flowserve-corporation.
The investigation concerns whether Flowserve and certain of its officers and/or directors have violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
On July 27, 2017, Flowserve disclosed its financial and operating results for the second quarter of 2017 and full-year outlook, decreasing considerably below estimates. Flowserve stated that "certain immaterial accounting errors were identified in prior period financial statements for the period beginning in 2013 through the first quarter of 2017, which occurred primarily at two non-U.S. sites, and principally involved certain inventory and accounts receivable balances" and that it "has determined to amend its 2016 Form 10-K and the March 31, 2017 Form 10-Q to reflect the revisions." The Company also stated that it "has determined material weakness existed in its internal control structure at year-end 2016 and continued through the end of the 2017 second quarter. The company intends to institute remediation plans as a result of these errors. The cumulative effect of the changes to retained earnings as of March 31, 2017 was a reduction of approximately $30 million."
On this news, Flowserve stock dropped $6.12 per share, or 13.2%, during intraday trading on July 28, 2017.
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If you purchased Flowserve securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Lesley Portnoy, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles, California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to firstname.lastname@example.org, or visit our website at www.glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
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