NEW YORK, May 4, 2015 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed in the United States District Court for the Northern District of Texas on behalf of all persons or entities that purchased the securities of Trinity Industries, Inc. (“Trinity” or the “Company”) (NYSE: TRN ) between February 16, 2012 and April 21, 2015, inclusive (the “Class Period”), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the “Complaint”).
The Complaint alleges that throughout the Class Period, defendants made materially false and/or misleading statements and/or failed to disclose that: (1) Trinity made certain cost-cutting changes to its ET-Plus guardrails without telling the Federal Highway Administration ("FHWA"), the government agency that certifies the safety of roadside hardware; (2) the safety of the guardrails was compromised as a result of the changes; (3) the crash tests on Trinity’s products may have been flawed; and (4) Trinity faces civil and criminal liabilities as a result.
The Complaint also alleges that as a result of the foregoing, Defendants’ statements about Trinity’s business operations were false and misleading because, among other things, the Company’s liabilities were understated and its financial projections were overstated.
After the market closed on April 21, 2015, an article published on Bloomberg stated that the U.S. Justice Department is investigating the Federal Highway Agency’s support of Trinity’s highway guardrail system. On this news, Trinity shares declined $3.43 per share, over 9%, to close at $32.82 per share on April 22, 2015. On April 24, 2015, the Company confirmed the initiation of the federal investigation in a conference call with investors. On this news, Trinity shares declined an additional $4.66 per share, or 14%, to close at $28.70 per share on April 24, 2015 on heavy trading volume.
If you wish to serve as lead plaintiff, you must move the Court no later than June 29 2015 . A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to join the litigation, or to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com .
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