SAN DIEGO, Sept. 30, 2013 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of certain purchasers of Francesca's Holdings Corp (FRAN) common stock over alleged violations of Federal Securities Laws by Francesca's Holdings Corp in connection with certain allegedly false and misleading statements made between March 20, 2013 and September 3, 2013
Investors who purchased shares of Francesca's Holdings Corp (FRAN) have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff alleges that the defendants between March 20, 2013 and September 3, 2013 failed to disclose that unseasonably rainy and cold spring and summer weather had diminished the mall traffic Francesca's relied upon to drive same-store sales growth, that a competitive back-to-school retail environment weighed on same-store sales growth, that same-store sales were declining, forcing Francesca's to rely upon new store openings to increase sales, that Francesca's Holdings Corp had been forced to engage in promotional selling at significant discounts during its first quarter 2013 in order to meet its financial targets, that Francesca's Holdings Corp had been forced to increase promotional activity during the second quarter of 2013, that Francesca's concealed the impact sales terms and margins with its suppliers would have on its ability to maintain above-average profit margins, and that, as a result, Francesca's Holdings Corp was not on track to achieve the financial results defendants had led the market to expect between March 20, 2013 and September 3, 2013.
The plaintiff claims that as a result of defendants' false and misleading statements between March 20, 2013 and September 3, 2013, certain company insiders were able to sell hundreds of millions of dollars of Francesca's stock at artificially inflated prices.
On September 4, 2013, Francesca's Holdings Corp reported its second quarter 2013 financial results. The Company also announced the board of directors authorized a $100 million share repurchase program.
Shares of Francesca's Holdings Corp declined from $24.00 per share on September 3, 2013, to $17.74 per share on September 4, 2013.
The plaintiff seeks to recover damages on behalf of all purchasers of Francesca's common stock d March 20, 2013 and September 3, 2013.
Those who purchased shares of Francesca's Holdings Corp (FRAN) have certain options and should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
CONTACT: Shareholders Foundation, Inc.
Trevor Allen
+1 (858) 779-1554
mail@shareholdersfoundation.com
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
