September 9, 2013 (Shareholders Foundation) - An investigation on behalf of current long-term stockholders of shares of Kimball International Inc (NASDAQ:KBALB) was announced concerning whether certain Kimball International officers and directors possibly breached their fiduciary duties in connection with certain statements.

The investigation by a law firm concerns whether certain Kimball officers and directors breached their fiduciary duties in connection with their conduct in seeking shareholders approval for the amendment and restatement to the Companys 2003 Stock Option and Incentive Plan (Plan).
In the Proxy Statement filed by Kimball International Inc with the Securities and Exchange Commission the Board of Directors recommends that Kimballs shareholders vote to approve an amendment and restatement to the Plan to increase the number of shares available for issuance pursuant to all awards thereunder from 2,500,000 to 5,000,000 shares. This Plan also seeks to increase shares for issuance pursuant to incentive stock options from 2,500,000 to 5,000,000.

According to the investigation the issuance of the additional shares could have a severe dilutive effect on the shares of Kimball International Inc.

Kimball International Inc (NASDAQ:KBALB) reported that its Total Revenue increased from over $1.14 billion for the 12 months period that ended on June 30, 2012 to over $1.2 billion for the 12 months period that ended on June 30, 2013 and that its Net Income for those time periods rose from $11.63 million to $19.88 million.

Shares of Kimball International Inc (NASDAQ:KBALB) grew from $5.07 per share in late 2011 to as high as $12.91 per share in November 2012. However, NASDAQ:KBALB shares declined from over $1 in early January 2013 to as low as $8.78 per share in February 2013.

On September 5, 2013, NASDAQ:KBALB shares closed at $9.92 per share.