NEW YORK, July 11, 2016 (GLOBE NEWSWIRE) -- Safirstein Metcalf LLP announces that a complaint has been filed in the United
States District Court for the Southern District of New York on behalf of all persons or entities that purchased the securities of
Ambac Financial Group, Inc. (“Ambac” or the “Company”) (Nasdaq:AMBC) between November 13, 2013 and June 30, 2015, inclusive, (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 or acquired Ambac securities during the Class Period, you may, no later than August 29, 2016,
request that the Court appoint you lead plaintiff of the proposed class. A lead plaintiff is a representative party that acts on
behalf of all class members in directing the litigation. Any member of the purported 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.
If you would like more information about getting involved in the Ambac Securities Class Action, please
contact Sheila Feerick at 1-800-221-0015, or email info@SafirsteinMetcalf.com.
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 that: (1) given the deterioration and increased
volatility in the Company’s bond portfolio, including its Puerto Rican bonds, the Company had far greater losses and loss exposure
to anticipated defaults than it had previously disclosed; (2) the Company’s credit risk surveillance strategies were inadequate;
(3) the Company was failing to implement mitigation strategies in a timely manner to stabilize the residual value of its financial
guarantee business; (4) as a result of the foregoing, the Company’s financial condition was much worse than represented; and (5)
Ambac failed to maintain adequate internal controls over financial reporting. 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 June 29, 2015, Puerto Rico’s governor announced that the island’s more than $70 billion in debt
was “not payable” and Puerto Rico would likely default on upcoming interest payments. The governor’s announcement revealed Ambac’s
true exposure as the Company was now potentially liable for up to $2.5 billion of the Commonwealth’s debt it insures.
Following this news, shares of Ambac dropped almost 16%, closing at $16.64 per share on June 30, 2015, on heavy trading
volume.
About Safirstein Metcalf LLP
Safirstein Metcalf LLP focuses it practice on shareholder rights. The law firm also practices in the areas of antitrust and
consumer protection. All of the Firm’s legal endeavors are rooted in its core mission: provide investor and consumer
protection.
Attorney advertising. Prior results do not guarantee a similar outcome.
Safirstein Metcalf LLP Peter Safirstein, Esq. 1250 Broadway 27th Floor New York, NY 10001 1-800-221-0015 info@SafirsteinMetcalf.com
