NEW YORK, Jan. 31, 2017 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of Roadrunner Transportation Systems, Inc. ("Roadrunner" or the "Company") (NYSE: RRTS). Such investors are advised to contact Robert S. Willoughby at firstname.lastname@example.org or 888-476-6529, ext. 9980.
The investigation concerns whether Roadrunner and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On January 30, 2017, post-market, Roadrunner announced that in November 2016, the Company "was made aware of various potential accounting discrepancies at its Morgan Southern and Bruenger operating subsidiaries" and commenced an investigation with the assistance of outside counsel. While the investigation remains ongoing, Roadrunner advised investors that the Company "currently estimates it will require prior period adjustments to Roadrunner's results of operations of between $20 million and $25 million" in the Company's annual and quarterly financial reporting for the years 2014, 2015, and 2016. Roadrunner advised investors that the errors "principally relate to unrecorded expenses from unreconciled balance sheet accounts including cash, driver and other receivables, and linehaul and other driver payables," and that the Company is reassessing its internal controls over financial reporting and its compliance programs.
On this news, Roadrunner stock has fallen as much as $3.89, or 33.71%, to a low of $7.65 on January 31, 2017.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and Los Angeles, 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