BENSALEM, Pa.--(BUSINESS WIRE)--
Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased L Brands, Inc. (“L Brands” or the “Company”) (NYSE: LB) common stock between May 31, 2018 and November 19, 2018, inclusive (the “Class Period”). L Brands investors have until September 23, 2019 to file a lead plaintiff motion.
Investors suffering losses on their L Brands investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to email@example.com.
On November 19, 2018, the Company reduced its annual ordinary dividend from $2.40 to $1.20 to deleverage the balance sheet over time.
On this news, shares of L Brands fell $6.12 per share, or nearly 18%, to close at $28.43 per share on November 20, 2018, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that the Victoria’s Secret and PINK businesses were having a material adverse effect on the Company’s cash flow, liquidity and debt levels; (2) that Defendants lacked a reasonable basis for their positive statements about the ability of the Company to sustain its dividend; (3) that the MD&A disclosures in filings L Brands made with the SEC were materially false and misleading; (4) that the risk factor disclosures in filings L Brands made with the SEC were materially false and misleading; (5) that the representations about L Brands’ disclosure controls in filings the Company made with the SEC were materially false and misleading; (6) that the certifications issued by the Chief Executive Officer and the Chief Financial Officer on L Brands disclosure controls were materially false and misleading; and (7) that based on the foregoing, Defendants lacked a reasonable basis for their positive statements about L Brands’ then-current business operations and future financial prospects.
If you purchased securities of L Brands, have information, 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 Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at www.howardsmithlaw.com.
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