Dec. 4, 2012 (Shareholders Foundation) -- An investigation on behalf of current long-term stockholders of shares of Magnum Hunter Resources Corp (NYSE:MHR) was announced concerning whether certain Magnum Hunter Resources officers and directors possibly breached their fiduciary duties in connection with certain statements.

The investigation by a law firm concerns whether certain Magnum Hunter Resources officers and directors breached their fiduciary duties in connection with their conduct in seeking shareholders approval of executive compensation and an amendment to Magnum Hunter Resources Equity Incentive Plan. In the Proxy Statement filed by Magnum Hunter Resources Corp with the Securities and Exchange Commission (SEC) the Board of Directors recommends that Magnum Hunters shareholders vote to approve an amendment to Magnum Hunters Certificate of Incorporation to increase the number of authorized shares of common stock to 350,000,000. Furthermore, the Company recommends that shareholders vote for an amendment to Magnum Hunter's Certificate of Incorporation to increase the authorized number of shares of preferred stock to 15,000,000, as well as for an amendment of Magnum Hunter's Amended and Restated Stock Incentive Plan to increase the number of shares issuable under the plan to 27,500,000.

According to the investigation the issuance of the additional shares could have a severe dilutive effect on the shares of Magnum Hunter Resources Corp (NYSE:MHR) common stock.