Glancy
Binkow & Goldberg LLP, representing investors of Advanced
Emissions Solutions, Inc. (“Advanced Emissions Solutions” or the
“Company”) (NYSE:ADES) has filed a class action lawsuit in the United
States District Court for the District of Colorado on behalf of a class
(the “Class”) comprising all purchasers of Advanced Emissions Solutions
securities between March 14, 2013 and April 23, 2014, inclusive (the
“Class Period”).
Please contact Glancy Binkow & Goldberg LLP, toll-free at (888) 773-9224
or at (212) 682-5340, or by email to shareholders@glancylaw.com
to discuss this matter.
Advanced Emissions Solutions, together with its subsidiaries, provides
environmental technologies and specialty chemicals to the coal-burning
electric power generation industry primarily in the United States. The
Complaint alleges that, throughout the Class Period, defendants
misrepresented and/or failed to disclose that:
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The Company had applied the wrong methodology to recognize revenue on
its Emissions Control business segment contracts and made material
errors in its accruals.
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The Company’s revenue and financial results were overstated.
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The Company’s financial statements were not prepared in accordance
with Generally Accepted Accounting Principles.
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The Company’s financial statements were materially false and
misleading at all relevant times.
On March 13, 2014, Advanced Emissions Solutions announced that it would
postpone its 2013 fourth quarter and year-end news release and
conference call, and that an ongoing review of the Company’s accounting
practices, particularly its methods of recognizing revenue for its
Emissions Control business segment contracts, “will likely result in
increased operating losses, primarily driven by a reduction of revenues
and margins for its emission control segment with a corresponding
increase in backlog for the same period.”
Then, on April 24, 2014, Advanced Emissions Solutions filed a current
report with the Securities and Exchange Commission on Form 8-K and
issued a press release announcing that the Audit Committee of the
Company’s Board of Directors had determined that the Company’s quarterly
financial statements filed with the SEC for the quarters ended March 31,
2013, June 30, 2013 and September 30, 2013, should no longer be relied
upon. According to the Form 8-K, the Company should have applied the
cost to cost methodology to measure progress in its Emissions Control
business segment contracts rather than labor hours, which resulted in
errors in the reported revenue for those contracts. The Company also
identified errors in its accruals, including accrual for interest
expense associated with deferred taxes related to installment gains, and
determined that its 2011 and 2012 financial statements will be
re-audited.
If you are a member of the Class described above, you may move the Court
no later than June 30, 2014, to serve as lead plaintiff, if you meet
certain legal requirements. To be a member of the Class you need not
take any action at this time; you may retain counsel of your choice or
take no action and remain an absent member of the Class. If you wish to
learn more about this action, or have any questions concerning this
announcement or your rights or interests with respect to these matters,
please contact Michael
Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1925 Century
Park East, Suite 2100, Los Angeles, California 90067, Toll Free at (888)
773-9224, or contact Gregory
Linkh, Esquire, of Glancy Binkow & Goldberg LLP at 122 E. 42nd
Street, Suite 2920, New York, New York 10168, at (212) 682-5340, by
e-mail to shareholders@glancylaw.com,
or visit our website at http://www.glancylaw.com.
If you inquire by email please include your mailing address, telephone
number and number of shares purchased.
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jurisdictions under the applicable law and ethical rules.
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