| Company: | General Cable Corporation |
| Ticker Symbol: | BGC |
| Class Period: | May-2-11 to Nov-4-13 |
| Date Filed: | Dec-4-13 |
| Lead Plaintiff Deadline: | Feb-2-14 |
| Court: | Southern District of New York |
| Allegations: | |
The complaint charges General Cable and certain of its officers and directors with violations of the Securities Exchange Act of 1934. General Cable is engaged in the development, design, manufacture, marketing and distribution of copper, aluminum and fiber optic wire and cable products for use in the energy, industrial, construction, specialty and communications markets.
The complaint alleges that during the Class Period, defendants issued materially false and misleading statements regarding General Cable's financial performance and business prospects and overstated the Company's reported revenue. As a result of defendants' false and misleading statements, the Company's stock traded at artificially inflated prices during the Class Period, trading as a high of $47.90 per share on May 2, 2011.
On October 15, 2013, General Cable filed a Form 8-K with the SEC disclosing that the Company would be restating previously issued financial statements for fiscal years 2008 through 2012 and the interim periods during those years and the financial statement for the three fiscal months ended March 29, 2013, related to the Company's value added tax and revenue recognition in connection with historical "bill and hold" transactions for aerial transmission projects in Brazil. The Company further disclosed that the financial statements should no longer be relied upon. On this news, the Company's stock price dropped $1.63 per share on October 15, 2013, to close at $32.24 per share. Then, on November 4, 2013, General Cable issued a press release announcing disappointing preliminary results for its third quarter of 2013, reporting that its "[e]stimated net sales ... were lower than expected principally due to demand in North America for aluminum based products including aerial transmission, construction and rod and strip as well as the impact of changes in 'bill and hold' revenue recognition accounting for aerial transmission projects in Brazil." On this news, the Company's stock price dropped $5.95 per share on November 5, 2013, to close at $28.46 per share, a one-day decline of 17% and a 40% decline from its Class Period high of $47.90 per share.
Plaintiff seeks to recover damages on behalf of all purchasers of General Cable securities during the Class Period (the "Class"). The plaintiff is represented by Robbins Geller, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.
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.
