March 22, 2020 - The case was dismissed.

January 3, 2020 - An amended consolidated complaint was filed.

June 3, 2019 - A consolidated complaint was filed.

December 14, 2018 - An investor in shares of XPO Logistics, Inc. (NYSE: XPO) filed a lawsuit in the U.S. District Court for the District of Connecticut over alleged violations of Federal Securities Laws by XPO Logistics, Inc. in connection with certain allegedly false and misleading statements made between February 26, 2014, and December 12, 2018. Greenwich, CT based XPO Logistics, Inc., formerly known as Express-1 Expedited Solutions, Inc, provides transportation and logistics services in the United States, North America, France, the United Kingdom, Spain, Europe, Asia, and internationally.

On September 2, 2011, Bradley S. Jacobs, through an equity investment led by Jacobs Private Equity, LLC, acquired a 71% ownership interest in Express-1. Jacobs assumed the roles of Chairman of the Board of Directors and Chief Executive Officer (“CEO”) and renamed the Company “XPO Logistics, Inc.” XPO Logistics, Inc has completed seventeen acquisitions since Jacobs took control of the Company, deploying $6.1 billion of capital. Jacobs’s tenure at XPO has been characterized by aggressive mergers and acquisitions (“M&A”) strategy. After Jacobs took control of the Company, Fortune Magazine noted that XPO “has grown from $177 million in sales in 2011 to $17 billion today, thanks largely to an incredible run of acquisitions.” On August 2, 2017, Jacobs announced plans to earmark up to $8 billion for additional acquisitions. The plaintiff says that prior to acquiring XPO Logistics, Inc., Jacobs had leadership roles in several other companies, having, inter alia, founded United Waste Systems, Inc. (“UWS”) in 1989 and co-founded United Rentals, Inc. (“URI”) in 1997, which eventually collapsed after an accounting scandal under Jacobs’ leadership.

According to the complaint the plaintiff alleges on behalf of purchasers of XPO Logistics, Inc. (NYSE: XPO) common shares between February 26, 2014, and December 12, 2018, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between February 26, 2014, and December 12, 2018 the defendants made false and/or misleading statements and/or failed to disclose that XPO Logistics’ highly touted aggressive M&A strategy had yielded only minimal returns to the Company, that XPO Logistics, Inc. was utilizing improper accounting practices to mask its true financial condition, including, inter alia, under-reporting of bad debts and aggressive amortization assumptions, and that XPO Logistics, Inc. as a result, the Company’s public statements were materially false and misleading at all relevant times.

On December 12, 2018, a report was published regarding XPO Logistics, Inc., entitled “Trucking Ridiculous; End of the Road”. The report asserted that a “forensic investigation” into XPO Logistics, Inc. had revealed, “financial irregularities that conveniently cover [the Company’s] growing financial strain and inability to complete additional acquisitions despite repeated promises.” The report alleged that it had uncovered, among other issues, “concrete evidence to suggest dubious tax accounting, under-reporting of bad debts, phantom income through unaccountable M&A earn-out liabilities, and aggressive amortization assumptions: all designed to portray glowing ‘Non-GAAP” results.” The report further stated that “XPO insiders have aggressively reduced their ownership interest in the Company since coming public, and recently enacted a new compensation structure tied to ‘Adjusted Cash Flow Per Share’—defined in such a non-standard way that it is practically meaningless.” The report also stated that “[i]n our opinion, XPO has used a nearly identical playbook from [URI] leading up to its SEC investigation, executive felony convictions, and share price collapse.” Shares of XPO Logistics, Inc. (NYSE: XPO) declined from $115.25 per share in September 2018 to as low as $41.05 per share on December 13, 2018.