Robbins Arroyo LLP: XPO Logistics, Inc. (XPO) Sued for Misleading Investors
Shareholder rights law firm
Robbins Arroyo LLP reminds purchasers of XPO Logistics (NYSE: XPO) that a class action complaint was filed against the
company's officers and directors for alleged violations of the Securities Exchange Act of 1934 between February 26, 2014 and
December 12, 2018. XPO Logistics provides transportation and logistics services domestically and internationally.
View this information on the law firm's Shareholder Rights Blog:
https://www.robbinsarroyo.com/xpo-logistics-apr-19/
XPO Accused of Dubious Tax Accounting To Cover Financial Strain
According to the complaint, XPO has grown from an aggressive mergers and acquisition strategy. Casting doubt as to the
legitimacy of the company's growth, on December 12, 2018, Spruce Point Capital Management published a report asserting that XPO was
covering financial irregularities, and that it had evidence to suggest XPO was utilizing dubious tax accounting methods and
aggressive amortization assumptions amongst other factors to portray glowing 'Non-GAAP' results. By Spruce Point's calculations,
XPO's acquisitions had "generated $73m of cumulative adjusted free cash flow in an expansionary economic period… [and is]
indicative of a failed business strategy yielding a paltry 1.2% return on invested capital." Following the publication of the
Spruce Point report, XPO's stock price fell $15.77, or 26.17%, to close at $44.50, and still trades significantly below its class
period high.
XPO Logistics Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leonid
Kandinov at (800) 350-6003, LKandinov@robbinsarroyo.com, or via the
shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional
investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion
of value for themselves and the companies in which they have invested.
Attorney Advertising. Past results do not guarantee a similar outcome.
Leonid Kandinov
Robbins Arroyo LLP
5040 Shoreham Place
San Diego, CA 92122
LKandinov@robbinsarroyo.com
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com
View source version on businesswire.com: https://www.businesswire.com/news/home/20190403005883/en/