SAN DIEGO, Oct. 05, 2016 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit is pending in New York on behalf of certain purchasers of shares of Ply Gem Holdings Inc (NYSE: PGEM ) over alleged Securities Laws Violations by Ply Gem Holdings Inc.
Investors who purchased shares of Ply Gem Holdings Inc (NYSE: PGEM ) and still hold any NYSE:PGEM shares have also certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
In May 2014 a lawsuit was filed against Ply Gem Holdings Inc over alleged securities laws violations. The plaintiff alleged that the Registration Statement, and the documents referenced and incorporated therein, negligently failed to disclose certain material events known to defendants that caused the financial information reported in the Registration Statement not to be indicative of Ply Gem’s future operating results. More specifically, the plaintiff claimed that these material events included that Ply Gem Holdings Inc had agreed to buy back certain inventory from The Home Depot, Inc. (“Home Depot”) as an accommodation related to a new supply agreement between the two companies (the “Supply Agreement”), that the Supply Agreement required that Ply Gem initially sell Home Depot a large volume of lower-priced, lower-margin product, that Ply Gem Holdings Inc was experiencing on-going labor inefficiencies and other ramp-up costs associated with the initial roll out of lower-priced, lower-margin products to Home Depot, that April 2013 was a particularly poor month for the Company, with management noting that “maybe it wasn’t our worst April in eight years, but it was our worst in a while” and that high customer inventory at the end of the first quarter was adversely affecting the demand for and sales of Ply Gem Holdings Inc’s siding products in April 2013 and May 2013.
In December 2014 an amended complaint was filed and in February 2015 the defendants filed their motion to dismiss the case. In September 2015 the court granted the defendants’ motion to dismiss the case with leave to amend the complaint. Then in November 2015 a second amended complaint was filed by the plaintiff and in January 2016 the defendants filed their motion to dismiss the second amended complaint.
Those who purchased shares of Ply Gem Holdings Inc (PGEM) 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 a 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.
CONTACT: Shareholders Foundation, Inc. Trevor Allen +1 (858) 779-1554 mail@shareholdersfoundation.com
