NEW YORK, Jan. 26, 2015 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of LeapFrog Enterprises, Inc. ("LeapFrog" or the "Company") (NYSE: LF). Such investors are advised to contact Robert S. Willoughby at [email protected] or 888-476-6529, ext. 237.
The investigation concerns whether LeapFrog and certain of its officers and/or directors have violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
On January 22, 2015, after the close of the market, LeapFrog announced very disappointing third quarter results with sales that fell significantly below expectations. The Company also announced a $107 million write-down of goodwill and deferred tax assets. LeapFrog blamed the slowdown in sales on weaker-than-expected children's tablet sales, delays in shipping the LeapTV video game system, lower cartridge/accessories demand, lower-than-expected LeapReader sales.
On this news, shares of LeapFrog fell $1.35 per share, or over 34.61%, to close at $2.55 per share on January 23, 2015.
The Pomerantz Firm, with offices in New York, Chicago, San Diego and Florida, 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 70 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
SOURCE Pomerantz LLP