Lawsuit Overview
May 15, 2015 - The U.S. Court of Appeals for the Eighth Circuit dismissed the appeal.
February 26, 2015 - The lead plaintiff filed a notice of appeal.
January 27, 2015 - The court granted defendants' motion to dismiss.
July 14, 2014 - Defendants filed a motion to dismiss.
May 5, 2014 - The lead plaintiff filed an amended consolidated complaint.
March 4, 2014 - Lead plaintiff and lead counsel were appointed and all cases were consolidated.
October 15, 2013 - Lead plaintiff motions were filed.
August 30, 2013 - Another investor filed a complaint.
August 16, 2013 - An investor in shares of Furniture Brands International Inc (NYSE: FBN now trading on the OTC sheets as FBNIQ), filed a lawsuit in the U.S. District Court for the Eastern District of Missouri against Furniture Brands International Inc over alleged violations of Federal Securities Laws in connection with certain allegedly false and misleading statements made between February 13, 2013 and August 5, 2013.
According to the complaint the plaintiff alleges, on behalf of all persons or entities who purchased or otherwise acquired securities of Furniture Brands International Inc (NYSE: FBN) between February 13, 2013 and August 5, 2013, that Furniture Brands International Inc violated the Securities Exchange Act of 1934.
More specifically, the plaintiff alleges that the defendants made false and misleading statements and/or failed to disclose that Furniture Brands International Inc was experiencing weaknesses in its wholesale business, that Furniture Brands International Inc's trade names were being carried at inflated values that would require material impairments, that Furniture Brands International Inc was experiencing severe liquidity issues, and that based upon the above, the Defendants lacked a reasonable basis for their positive statements about Furniture Brands International Inc between February 13, 2013 and August 5, 2013.
Furniture Brands International Inc reported that its annual Total Revenue declined from over $1.15 billion in 2010 to over $1.07 billion in 2012 and that its Net Loss for those time periods increased from $39.03 million to $47.27 million.
On August 6, 2013, Furniture Brands International Inc announced financial results for the second quarter ended June 29, 2013. Among other things, Furniture Brands International Inc said that the $26.9 million asset impairment charges includes $15.7 million related to an impairment of software assets as the Company is narrowing the scope of a planned systems implementation, $10.8 million related to trade name impairments, and $0.4 million of impairment charges related to assets held for sale.
Shares of Furniture Brands International Inc (NYSE: FBN) declined since its 1:7 split on May 28, 2013, from $6.76 per share to as low as $0.55 per share on August 20, 2013.
On August 23, 2013, Furniture Brands International Inc (NYSE: FBN) shares closed at $0.734 per share.