NEW YORK, July 10, 2008 (LAWFUEL) — Roy Jacobs & Associates
announces it is investigating possible securities law violations
concerning the announcement by FCStone Group, Inc. (“FCStone” or the
“Company”) (Nasdaq:FCSX) that earnings for the third quarter of 2008
would be significantly below estimates due in material part to a hedge
transaction which the Company terminated, booking material losses for
the quarter on a mark-to-market basis.
For further information, please contact Roy L. Jacobs, Esq. toll-free
at 1-888-884-4490 or by email to [email protected]
During the third quarter which ended May 31, 2008, the Company became
aware that an existing risky hedge transaction had turned negative and
was terminated to avoid even greater losses. Although the Company’s
senior management was aware of the losses incurred and to be incurred,
it failed to disclose any information concerning this transaction at
and after the close of the third quarter.
Upon revelation of the adverse news on July 10, 2008, FCStone shares
dropped over 47% wiping out over $300 million in shareholder value.
If you purchased FCStone shares during the period from May 31, 2008
through July 9, 2008 and are interested in discussing your rights free
of charge, please contact Roy L. Jacobs.