SAN DIEGO, Nov. 12, 2013 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of certain purchasers of General Cable Corporation (BGC) common stock over alleged violations of Federal Securities Laws by General Cable Corporation in connection with certain allegedly false and misleading statements made between May 3, 2011 and October 14, 2013.
If you purchased a significant amount of common stock General Cable Corporation (BGC) between, and / or if you purchased any BGC in 2011 or earlier and currently hold any of those shares, you have certain options and you should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The plaintiff alleges that the defendants made allegedly false and/or misleading statements and/or failed to disclose that General Cable Corporation understated cost of sales and overstated inventory balances, that General Cable Corporation's reconciliation process was deficient as it failed to detect finished goods inventory, that General Cable Corporation overstated inventory in its allocation of the purchase price among assets acquired, resulting in an understatement of goodwill, that General Cable Corporation overstated its value added tax credits by at least $18 million, that General Cable Corporation improperly recognized revenue of approximately $30 million and $7 million of gross margin in connection with "bill and hold" transactions for aerial transmission projects in Brazil, that General Cable Corporation lacked adequate internal and financial controls, and that as a result of the foregoing, General Cable Corporation's statements were materially false and misleading at all relevant times.
On October 15, 2013, General Cable Corporation announced in a filing with the SEC that its financial statements for fiscal years 2008-2012, and 1Q 2013, should no longer be relied upon due to accounting errors relating to value added tax and revenue recognition. Shares of General Cable Corporation declined from $33.87 per share on October 14, 2013 to $32.02.per share on October 16, 2013.
On November 4, 2013, General Cable Corporation announced preliminary selected estimated results for the third quarter ended September 27, 2013. Shares of General Cable Corporation fell from $34.52 per share on November 4, 2013 to $27.87 per share on November 5, 2013.
Those who purchased shares of General Cable Corporation have certain options and should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
Shareholders Foundation, Inc. Trevor Allen +1 (858) 779-1554 3111 Camino Del Rio North Suite 423 San Diego, CA 92108
