RADNOR, Pa., Aug. 12, 2016 /PRNewswire/ -- The law firm of Kessler Topaz Meltzer & Check, LLP announces that a shareholder class action lawsuit has been filed against Orbital ATK, Inc. (NYSE: OA) ("Orbital" or the "Company") on behalf of purchasers of the Company's securities between June 1, 2015 and August 9, 2016, inclusive (the "Class Period").
Investors who purchased Orbital securities during the Class Period may, no later than October 11, 2016, petition the Court to be appointed as a lead plaintiff representative of the class. For additional information please visit https://www.ktmc.com/new-cases/orbital-atk-inc#join.
Shareholders who wish to discuss this action and their legal options are encouraged to contact Kessler Topaz Meltzer & Check, LLP (Darren J. Check, Esq., D. Seamus Kaskela, Esq. or Adrienne O. Bell, Esq.) at (888) 299 - 7706 or at [email protected].
Orbital develops and supplies advanced weapon and space systems. In September 2012, the Company entered into a $2.3 billion long-term contract (the "Contract") with the U.S. Army to manufacture and supply small caliber ammunition.
On August 10, 2016, Orbital reported that it would delay the filing of its quarterly financial statements "due to an ongoing review of accounting matters…." Additionally, the Company disclosed that it expected to restate its fiscal 2015 and subsequently filed financial statements to correct "misstatements" relating to the Contract, which resulted in an overstatement of revenues and operating income in those previously issued financial statements.
Following this news, shares of the Company's stock declined $17.98, or over 20 percent, to close on August 10, 2016 at $70.79 per share, on unusually heavy trading volume.
The complaint alleges that the defendants made a series of false and misleading statements and/or failed to disclose to investors during the Class Period that: (i) Orbital lacked effective control over financial reporting; (ii) as a result, the Company failed to record an anticipated loss on the Contract after the loss became evident in 2015, as required by generally accepted accounting principles; and (iii) as a result of the foregoing, Orbital's public statements were materially false and misleading at all relevant times.
Orbital shareholders may, no later than October 11, 2016, petition the Court to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check or other counsel, or may choose to do nothing and remain an absent class member. A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. In order to be appointed as a lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class in the action. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country. Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). The complaint in this action was not filed by Kessler Topaz Meltzer & Check. For more information about Kessler Topaz Meltzer & Check, or for additional information about participating in this action, please visit www.ktmc.com.
Kessler Topaz Meltzer & Check, LLP
Darren J. Check, Esq.
D. Seamus Kaskela, Esq.
Adrienne O. Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087
(888) 299 - 7706
(610) 667 - 7706
SOURCE Kessler Topaz Meltzer & Check, LLP