WILMINGTON, Del., Feb. 5, 2015 /PRNewswire/ -- Rigrodsky & Long, P.A.:
- Do you, or did you, own shares of LeapFrog Enterprises, Inc. (NYSE: LF)?
- Did you purchase your shares between May 6, 2014 and January 22, 2015?
- Did you lose money in your investment in LeapFrog Enterprises, Inc.?
- Do you want to discuss your rights?
Rigrodsky & Long, P.A., including former Special Assistant United States Attorney, Timothy J. MacFall, announces that a complaint has been filed in the United States District Court for the Northern District of California on behalf of all persons or entities that purchased the common stock of LeapFrog Enterprises, Inc. ("LeapFrog" or the "Company") (NYSE: LF) between May 6, 2014 and January 22, 2015 (the "Class Period"), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the "Complaint").
If you purchased shares of LeapFrog during the Class Period, or purchased shares prior to the Class Period and still hold LeapFrog, and wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Timothy J. MacFall, Esquire or Peter Allocco of Rigrodsky & Long, P.A., 2 Righter Parkway, Suite 120, Wilmington, DE 19803 at (888) 969-4242; by e-mail to info@rl-legal.com; or at: http://www.rigrodskylong.com/investigations/leapfrog-enterprises-inc-lf.
LeapFrog is a leading developer of educational entertainment for children. The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements, and omitted materially adverse facts, about the Company's business, operations and prospects. Specifically, the Complaint alleges that the defendants concealed from the investing public: (1) that the Company was experiencing a decline in consumer demand; (2) that the Company's new LeapTV video game system launch and shipment was delayed by developmental issues; (3) that retailers were overstocked with the Company's LeapPad products; (4) that, as a result, the Company lacked a reasonable basis for its financial guidance; and (5) that, as a result of the foregoing, the Company's statements were materially false and misleading at all relevant times. As a result of defendants' alleged false and misleading statements, the Company's stock traded at artificially inflated prices during the Class Period.
According to the Complaint, on January 22, 2015, after the market closed, the Company issued a press release announcing its preliminary unaudited financial results for the Third Quarter 2015. Among other things, the Company disclosed that its financial performance in that quarter was "significantly below [its] expectations" and that it would "not achieve [its] fiscal year guidance." Additionally, as a result of its sales decline, the Company announced that it was "withdrawing [its] prior guidance for the current fiscal year ending March 31, 2015."
On this news, shares in LeapFrog plummeted almost 35%, closing at $2.55 per share on January 23, 2015, on extraordinarily high trading volume.
If you wish to serve as lead plaintiff, you must move the Court no later than March 24, 2015. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the proposed class may move the court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
While Rigrodsky & Long, P.A. did not file the Complaint in this matter, the firm, with offices in Wilmington, Delaware and Garden City, New York, regularly litigates securities class, derivative and direct actions, shareholder rights litigation and corporate governance litigation, including claims for breach of fiduciary duty and proxy violations in the Delaware Court of Chancery and in state and federal courts throughout the United States.
Attorney advertising. Prior results do not guarantee a similar outcome.
CONTACT:
Rigrodsky & Long, P.A.
Timothy J. MacFall, Esquire
Peter Allocco
(888) 969-4242
(516) 683-3516
Fax: (302) 654-7530
info@rl-legal.com
http://www.rigrodskylong.com
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SOURCE Rigrodsky & Long, P.A.