May 14, 2013 (Shareholders Foundation) - An investigation on behalf of current long-term stockholders of shares of The Cheesecake Factory Incorporated (NASDAQ:CAKE was announced concerning whether certain Cheesecake Factory officers and directors possibly breached their fiduciary duties in connection with certain statements.

The investigation by a law firm concerns whether certain Cheesecake officers and directors breached their fiduciary duties in connection with their conduct in seeking shareholders approval for an amendment to the Companys 2010 Stock Incentive Plan.

In the Proxy Statement filed by the Cheesecake Factory with the Securities and Exchange Commission (SEC) the Board of Directors recommends that Cheesecake Factorys shareholders vote to approve an amendment to the Companys 2010 Stock Incentive Plan to increase the number of shares available for issuance by 1,750,000 shares, from 4,800,000 shares to 6,550,000 shares.

According to the investigation the issuance of the additional shares could have a severe dilutive effect on the shares of NASDAQ:CAKE common stock.

The Cheesecake Factory Incorporated (NASDAQ:CAKE) reported that its Total Revenue rose from over $1.65 billion for the 52 weeks period that ended on Dec. 28, 2010 to over $1.8 billion for the 52 weeks period that ended on Jan. 1, 2013 and that its respective Net Income increased from $81.71 million to $98.42 million.

The total compensation of certain top officials at The Cheesecake Factory Incorporated grew from 2010 to 2012. For instance, the Chairman of the board and CEOs total pay increased from over $3.69 million in 2010 to over $5.38 million in 2012 and the CFOs total compensation rose from over $1.17 million in 2010 to over $1.22 million in 2012.

Shares of the Cheesecake Factory Incorporated grew from as low as $5.42 per share in November 2008 to as high as $40.73 on May 14, 2013.