NEW YORK, Feb. 3, 2018 /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against AZZ Inc. ("AZZ" or the "Company") (NYSE: AZZ) and certain of its officers. The class action, filed in United States District Court for the Northern District of Texas, Fort Worth Division, is on behalf of a class consisting of investors who purchased or otherwise acquired the securities of AZZ between April 22, 2015 and January 8, 2018, both dates inclusive (the "Class Period"). Plaintiff seeks to recover compensable damages caused by Defendants' violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the "Exchange Act") and Rule 10b-5 promulgated thereunder.
If you are a shareholder who purchased AZZ securities between August 4, 2017, and January 5, 2018, both dates inclusive, you have until March 12, 2018, to ask the Court to appoint you as Lead Plaintiff for the class. To discuss this action, contact Robert S. Willoughby at firstname.lastname@example.org or 888.476.6529 (or 888.4-POMLAW), toll-free, Ext. 9980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and quantity of shares purchased.
AZZ manufactures specialty electrical equipment and components for the global power generation, power transmission, and distribution markets. The Company also provides hot dip galvanizing services to the steel fabrication industry across the United States.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) that the Company misstated revenues for its Energy Segment for the duration of the Class Period; (ii) that it had failed to report revenues in compliance with FASB's Accounting Standards Codification 605-35-25-92, (iii) that the Company lacked adequate internal controls over financial reporting; (iv) that its purported efforts, over more than two years, to evaluate revenue recognition standards had been an apparent failure; and that (v) as a result of the foregoing, AZZ's publicly disseminated financial statements were materially false and misleading.
On January 9, 2018, AZZ announced: "that the Company historically should have accounted differently for certain contracts within its Energy Segment." Specifically, the Company reported that revenue for the contracts at issue "was historically recognized for the Energy Segment upon transfer of title and risk to customers or based upon the percentage of completion method of accounting for electrical products built to customer specifications," but that "in the case of contracts for which revenue was recorded upon contract completion and transfer of title, the Company instead should have applied the percentage of completion method." AZZ advised investors that it "is currently reviewing whether . . . there are any significant impacts to the Company's audited consolidated financial statements for the fiscal years ended February 28, 2015, and 2017, and the fiscal year ended February 29, 2016, as contained in its 2017 Annual Report on Form 10-K and the previously issued unaudited financial statements contained in its Quarterly Reports on Form 10-Q for the quarters ended May 31, 2017, and August 31, 2017."
On this news, AZZ's share price fell $3.14, or 6.2%, to close at $47.50 on January 9, 2018.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
Robert S. Willoughby
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SOURCE Pomerantz LLP