| Company: | Centene Corp. |
| Ticker Symbol: | NYSE: CNC |
| Class Period: | June 21, 2006 to July 17, 2006 |
| Date Filed: | Aug-01-06 |
| Lead Plaintiff Deadline: | Sep-30-06 |
| Court: | Eastern District, MO |
| Allegations: |
A class action lawsuit has been filed in the United States District Court for the Eastern District of Missouri on behalf of purchasers of the common stock of Centene Corp. ("Centene" or the "Company") (NYSE:CNC) from June 21, 2006 through July 17, 2006 (the "Class Period"). Defendants include Centene and certain of its top officers and directors.
The complaint alleges that Centene and certain officers and directors violated the federal securities laws by making false and misleading statements and omissions assuring the investing public that Centene had its costs under control, when it did not. Centene is a healthcare enterprise which operates health plans in Indiana, Missouri, Ohio, Texas and additional states. During the Class Period, the Company assured investors that its costs were under control, and that the only market where there was any concern related to pharmacy costs in Indiana and to a limited degree Ohio. The defendants reported that cost trends were improving in Indiana and Ohio. In June 2006, defendants reaffirmed that there were no surprises. Thereafter in late June 2006, Goldman Sachs announced that based on its discussions with Centene, its management had strong confidence in its guidance for the second quarter of 2006 and for the remainder of 2006, and that cost trend issues remained manageable.
Then on July 18, 2006 defendants shocked the market by announcing that 2006 second quarter results would be far below prior guidance, and results for the remainder of 2006 would not meet guidance, as well. The huge shortfall was caused by additional medical costs incurred in Indiana and Texas. As a result, Centene shares dropped from $21.04 to $13.44, wiping out millions in shareholder value.
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.
The complaint alleges that Centene and certain officers and directors violated the federal securities laws by making false and misleading statements and omissions assuring the investing public that Centene had its costs under control, when it did not. Centene is a healthcare enterprise which operates health plans in Indiana, Missouri, Ohio, Texas and additional states. During the Class Period, the Company assured investors that its costs were under control, and that the only market where there was any concern related to pharmacy costs in Indiana and to a limited degree Ohio. The defendants reported that cost trends were improving in Indiana and Ohio. In June 2006, defendants reaffirmed that there were no surprises. Thereafter in late June 2006, Goldman Sachs announced that based on its discussions with Centene, its management had strong confidence in its guidance for the second quarter of 2006 and for the remainder of 2006, and that cost trend issues remained manageable.
Then on July 18, 2006 defendants shocked the market by announcing that 2006 second quarter results would be far below prior guidance, and results for the remainder of 2006 would not meet guidance, as well. The huge shortfall was caused by additional medical costs incurred in Indiana and Texas. As a result, Centene shares dropped from $21.04 to $13.44, wiping out millions in shareholder value.
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.
