| Company: | Aracruz Celulose S.A |
| Ticker Symbol: | ARA |
| Class Period: | Apr-7-08 to Oct-2-08 |
| Date Filed: | Dec-3-08 |
| Lead Plaintiff Deadline: | Feb-1-09 |
| Court: | Southern District of Florida |
| Allegations: | |
The Complaint charges that Aracruz, a major Brazilian manufacturer of forest products, which they market to manufacturers of consumer paper products around the world, and certain of its officers and directors violated federal securities laws. Specifically, Aracruz entered into undisclosed currency derivative contracts to purportedly hedge against the Company's U.S. dollar exposure. Aracruz characterized the use of these contracts as protection against foreign interest rate volatility and assured investors that this type of trading did not represent "a risk from an economic and financial standpoint." However, these contracts violated Company policy in that they were far larger than necessary to hedge normal business operations. As a result of Aracruz's clandestine and speculative currency wagers, credit rating agencies downgraded Aracruz and the Company's CFO resigned. On October 3, 2008, the Company's ADRs closed at $23.40, down $7.84 per share, a decline of 25%.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
