Law Offices of Howard G. Smith announces that a class action lawsuit has
been filed on behalf of purchasers of the common stock of Walter
Energy, Inc. between April 20, 2011 and September 21, 2011, inclusive,
seeking to pursue remedies under the Securities Exchange Act of 1934.
The class action lawsuit was filed in the United States District Court,
Northern District of Alabama.
Walter Energy produces and exports metallurgical coal for electric
utility and industrial customers primarily in the United States. The
Complaint alleges that defendants misrepresented or failed to disclose
material adverse facts about the Company’s business and financial
prospects, including that: (1) the Company was experiencing so-called
“squeeze” events in Alabama and lower coal transportation rates in
Canada that significantly reduced the Company’s coal production; (2) the
Company’s commitment to ship more than 700,000 tons of coal in the
second quarter at first quarter sales prices would result in a material
adverse effect on Walter Energy’s average sales prices and operating
results during the second quarter; (3) the Company was experiencing a
significant decline in its margins and profitability; and (4), based on
the foregoing, defendants lacked a reasonable basis for their positive
statements about the Company and its business and financial prospects
during the Class Period.
No class has yet been certified in the above action. Until a class is
certified, you are not represented by counsel unless you retain one. If
you purchased Walter Energy common stock between April 20, 2011 and
September 21, 2011, you have certain rights, and have until March 26,
2012 to move for lead plaintiff status. To be a member of the class you
need not take any action at this time, and you may retain counsel of
your choice.
www.howardsmithlaw.com
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