RADNOR, Pa., April 17 /PRNewswire/ -- The following statement was issued today by the law firm of Barroway Topaz Kessler Meltzer & Check, LLP:
Notice is hereby given that a class action lawsuit was filed in the United States District Court for the District of New Jersey on behalf of all persons who acquired depositary shares of Prudential Financial, Inc. ("Prudential") 9% Junior Subordinated Notes (the "Securities") , pursuant or traceable to the Company's June 2008 initial public offering of the Securities (the "IPO" or the "Offering").
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Barroway Topaz Kessler Meltzer & Check, LLP (Darren J. Check, Esq. or David M. Promisloff, Esq.) toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at info@btkmc.com.
The Complaint charges Prudential and certain of its officers, directors, underwriters and auditor with violations of the Securities Act of 1933 (the "Securities Act"). Prudential is a financial services company with operations in the United States, Asia, Europe, and Latin America. More specifically, the Complaint alleges that the Company failed to disclose and misrepresented the following material adverse facts which were known to defendants or recklessly disregarded by them: (1) that the Company's goodwill associated with certain subsidiaries was more greatly impaired than the Company had disclosed; (2) that the Company's asset-backed securities collateralized with subprime mortgages were more greatly impaired than the Company had disclosed; (3) that defendants had not properly recorded losses for impaired assets; (4) that the Company lacked adequate internal controls; and (5) that, as a result of the foregoing, the Company's Registration Statement was false and misleading at all relevant times.
On or about June 24, 2008, the Company conducted the Offering. In connection with the Offering, the Company filed a Prospectus Supplement, which forms part of the Registration Statement, with the SEC. The Offering was a financial success for the Company, as it was able to raise over $920 million by selling 36.8 million shares of the Securities to investors at a price of $25 per share. Beginning on February 4, 2009, Prudential began to announce write-downs of the Company's goodwill associated with certain subsidiaries, as well as write-downs associated with the Company's exposure to subprime mortgages.
Then, on February 19, 2009, a BusinessWire article revealed that the Company's exposure to volatile credit and investment market conditions was negatively impacting its investment results, earnings performance and capital levels. Additionally, the article revealed that Prudential had above average exposure to subprime residential mortgage-backed securities and commercial mortgage-backed securities. As a result of the disclosures and adverse news, the price of the Securities declined in value, closing on February 19, 2009 at $16.09.
Plaintiff seeks to recover damages on behalf of class members and is represented by the law firm of Barroway Topaz Kessler Meltzer & Check which prosecutes class actions in both state and federal courts throughout the country. Barroway Topaz Kessler Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world.
For more information about Barroway Topaz Kessler Meltzer & Check, or for additional information about participating in this action, please visit http://www.btkmc.com/.
If you are a member of the class described above, you may, not later than May 11, 2009, move the Court to serve as lead plaintiff of the class, if you so choose. A lead plaintiff is a representative party that acts 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 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.
CONTACT: Barroway Topaz Kessler Meltzer & Check, LLP Darren J. Check, Esq. David M. Promisloff, Esq. 280 King of Prussia Road Radnor, PA 19087 1-888-299-7706 (toll free) or 1-610-667-7706 Or by e-mail at info@btkmc.com
Barroway Topaz Kessler Meltzer & Check, LLP
CONTACT: Darren J. Check, Esq., or David M. Promisloff, Esq., both of
Barroway Topaz Kessler Meltzer & Check, LLP, +1-888-299-7706 (toll free), or
+1-610-667-7706, info@btkmc.com
Web Site: http://www.btkmc.com/
