Robbins Geller Rudman & Dowd LLP ("Robbins Geller") (http://www.rgrdlaw.com/cases/kodakco/) today announced that a class action has been commenced in the United States District Court for the Southern District of New York on behalf of purchasers of Eastman Kodak Company ("Kodak") (OTC:EKDKQ.PK) publicly traded securities during the period between January 26, 2011 and September 23, 2011 (the "Class Period").
If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel, Darren Robbins of Robbins Geller at 800/449-4900 or 619/231-1058, or via e-mail at djr@rgrdlaw.com. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.rgrdlaw.com/cases/kodakco/. Any member of the putative 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.
The complaint charges certain of Kodak's officers and directors with violations of the Securities Exchange Act of 1934. Kodak is engaged in the sale of imaging products, technology, solutions and services to consumers, businesses and professionals. Kodak filed for Chapter 11 bankruptcy protection on January 19, 2012.
The complaint alleges that during the Class Period, defendants issued materially false and misleading statements regarding the Company's business and financial results. As a result of defendants' false statements, Kodak's stock traded at artificially inflated prices during the Class Period, reaching a high of $3.81 per share on January 27, 2011.
On September 23, 2011, Kodak filed a Form 8-K with the SEC, announcing the Company was borrowing $160 million against its credit line for general corporate purposes. On this news, shares of Kodak dropped $0.64, to close at $1.74 per share on September 26, 2011, a decline of nearly 27% on volume of nearly 43 million shares.
According to the complaint, the true facts, which were known by the defendants but concealed from the investing public during the Class Period, were as follows: (a) Kodak's business model was not working – the Company was unable to leverage its extensive portfolio and scale of products and services in a strategically beneficial manner; (b) Kodak's cash position was much more precarious than defendants' statements suggested; and (c) based on the foregoing, defendants lacked a reasonable basis for their positive statements about Kodak's turnaround, revenue growth rates, earnings per share, and the Company's ability to deliver on its long-term growth model.
Plaintiff seeks to recover damages on behalf of all purchasers of Kodak publicly traded securities during the Class Period (the "Class"). The plaintiff is represented by Robbins Geller, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.
Robbins Geller, a 180-lawyer firm with offices in San Diego, San Francisco, New York, Boca Raton, Washington, D.C., Philadelphia and Atlanta, is active in major litigations pending in federal and state courts throughout the United States and has taken a leading role in many important actions on behalf of defrauded investors, consumers, and companies, as well as victims of human rights violations. The Robbins Geller Web site (http://www.rgrdlaw.com) has more information about the firm.
Contacts:
Robbins Geller Rudman & Dowd LLP
Darren Robbins, 800/449-4900
or 619/231-1058
djr@rgrdlaw.com
