Lawsuit Overview
June 23, 2009 - The court granted the defendants' motion to dismiss.
November 14, 2008 - The defendants filed a motion to dismiss.
September 16, 2008 - The lead plaintiffs filed a amended consolidated complaint.
July 17, 2008 - The lead plaintiffs and lead counsel were appointed and all cases were consolidated.
May 27, 2008 - Lead plaintiff motions were filed.
April 8, 2008 - Another investor filed a complaint.
April 4, 2008 - Another investor filed a complaint.
March 26, 2008 - An investor in shares of Humana Inc (NYSE: HUM) filed a lawsuit in the U.S. District Court for the Western District of Kentucky against Humana Inc over alleged violations of Federal Securities Laws.
According to the complaint, between February 4, 2008 and March 11, 2008, defendants issued materially false and misleading statements concerning Humana Inc’s anticipated earnings per share (“EPS”) for the first quarter of 2008 and full year 2008. As alleged in the complaint, these statements were materially false misleading because defendants failed to disclose: (i) that Humana Inc was unable to properly calculate the prescription drug costs of its newly acquired members; (ii) that Humana Inc's costs associated with its prescription drug plans had dramatically increased; and (iii) that as a result of the foregoing, defendants’ statements concerning Humana Inc’s anticipated EPS for the first quarter of 2008 and full year 2008 were lacking in a reasonable basis at all relevant times and were therefore materially false and misleading.
On March 12, 2008 Humana Inc announced that it would be revising its earnings estimates because of, among other things, increased costs that it was experiencing with the Humana Inc’s prescription drug plans. Following this announcement, shares of Humana Inc (NYSE: HUM) stock fell $6.50 per share, or approximately 13.7%, to close at $40.88 per share.
Humana Inc provides various health and supplemental benefit plans for employer groups, government benefit programs, and individuals in the United States.