CONSHOHOCKEN, Pa.-Sept. 6, 2005- LAWFUEL – The Law News Network -Goldman Scarlato & Karon, P.C., a law firm with offices in Pennsylvania and Ohio, announces that a lawsuit has been filed in the United States District Court for the Southern District of Ohio, on behalf of persons who purchased or otherwise acquired publicly traded securities of Abercrombie & Fitch Co. (“Abercrombie” or the “Company”) (NYSE:ANF – News) between June 2, 2005 and August 16, 2005, inclusive, (the “Class Period”). The lawsuit was filed against Abercrombie, Michael S. Jefferies, Robert Singer and Michael W. Kramer (“Defendants”).
If you are a member of this class and wish to view a copy of a complaint and join this class action, please e-mail us at [email protected] and request a copy of the complaint and a plaintiff certification. If you are a member of the Class, you may move the Court no later than November 1, 2005 to serve as a lead plaintiff for the Class. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. However, if you choose to remain an absent class member, unless and until a class is certified, you are not represented by counsel.
The complaint alleges that Defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. Specifically, the complaint alleges that Abercrombie made a series of false and misleading statements regarding its monthly and quarterly sales results, while at the same time failing to disclose that margins were rapidly deteriorating, and that the Company had built a significant amount of inventory going into the Company’s fiscal second quarter.
On August 16, 2005, Abercrombie reported that its fiscal second quarter earnings, while up on a year-over-year basis at $0.63 per share, dramatically missed analyst estimates of $0.69 per share and that its full-year results would be below expectations. Shares of Abercrombie fell from $61.23 per share to $58.85 per share in reaction to the news. Subsequent to the negative report, and the acknowledgement that Abercrombie’s Chairman and CEO sold more than 1.6 million shares for approximately $118 million in proceeds during the class period leading up to the negative earnings announcement, shares have continued to slide, to as low as $53.53 per share, a decline of 12.6% since the negative results were announced.
If you bought Abercrombie securities between June 2, 2005 and August 16, 2005, inclusive, and would like to obtain information about the lawsuit, then you are invited to call (888) 753-2796 to speak with an advisor.
Mark S. Goldman, Esq., 888-753-2796