| Company: | NutriSystem, Inc. |
| Ticker Symbol: | NASD: NTRI |
| Class Period: | February 14, 2007 to October 4, 2007 |
| Date Filed: | Oct-10-07 |
| Lead Plaintiff Deadline: | Dec-10-07 |
| Court: | Eastern District, PA |
| Allegations: |
A class action lawsuit has been commenced in the United States District Court for the Eastern District of Pennsylvania, 07cv4215, on behalf of purchasers of the common stock of NutriSystem, Inc. ("NutriSystem" or the "Company")(Nasdaq:NTRI) between February 14, 2007 and October 4, 2007, inclusive (the "Class Period"), seeking to pursue remedies under the Securities Exchange Act of 1934 (the "Exchange Act").
The complaint charges NutriSystem and certain of its officers with violations of the Federal Securities Laws. NutriSystem provides healthy diets plans for men and women.
According to the complaint, during the Class Period, defendants issued materially false and misleading statements that misrepresented and failed to disclose the following: (a) that the Company was signing up fewer new customers and was not performing according to internal expectations; (b) that the Company's costs of acquiring new customers were significantly increasing; and (c) that the company's performance was being negatively impacted by competition. Then, on October 3, 2007, after the market closed, the company issued a press release announcing its preliminary third quarter 2007 results and revised earnings guidance for the full year of 2007. In response to this announcement, the price of NutriSystem common stock fell $15.98 per share, or approximately 34%, to close at $32.59 per share, on extremely heavy trading volume. Additionally, during the class period, the individual defendants and other company insiders sold 305,179 shares of their personally held NutriSystem common stock for gross proceeds in excess of $19.5 million.
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 charges NutriSystem and certain of its officers with violations of the Federal Securities Laws. NutriSystem provides healthy diets plans for men and women.
According to the complaint, during the Class Period, defendants issued materially false and misleading statements that misrepresented and failed to disclose the following: (a) that the Company was signing up fewer new customers and was not performing according to internal expectations; (b) that the Company's costs of acquiring new customers were significantly increasing; and (c) that the company's performance was being negatively impacted by competition. Then, on October 3, 2007, after the market closed, the company issued a press release announcing its preliminary third quarter 2007 results and revised earnings guidance for the full year of 2007. In response to this announcement, the price of NutriSystem common stock fell $15.98 per share, or approximately 34%, to close at $32.59 per share, on extremely heavy trading volume. Additionally, during the class period, the individual defendants and other company insiders sold 305,179 shares of their personally held NutriSystem common stock for gross proceeds in excess of $19.5 million.
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.
