Company: | Tommy Hilfiger Corp. |
Ticker Symbol: | NYSE:TOM |
Class Period: | November 3, 1999 to September 24, 2004 |
Date Filed: | Sep-28-04 |
Lead Plaintiff Deadline: | Nov-25-04 |
Court: | Southern District, NY |
Allegations: |
A class action lawsuit has been commenced in the United States District Court for the Southern District of New York on behalf of purchasers of Tommy Hilfiger Corp. ("Tommy Hilfiger" or the "Company") (NYSE:TOM) publicly traded securities during the period between November 3, 1999 and September 24, 2004 (the "Class Period").
The complaint charges Tommy Hilfiger and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Tommy Hilfiger, through its subsidiaries, designs, sources and markets men's and women's sportswear, jeanswear and childrenswear under the Tommy Hilfiger trademarks.
The complaint alleges that, throughout the Class Period, defendants issued numerous statements and filed quarterly and annual reports with the United States Securities and Exchange Commission regarding the Company's current financial performance and future earnings. As alleged in the complaint, these statements were materially false and misleading because defendants knew, but failed to disclose: (i) that the Company had engaged in an improper tax avoidance scheme whereby it shifted certain of its income to lower tax jurisdictions through the overpayment of commissions to one of its non-U.S. subsidiaries; (ii) that, since at least 1999, the Company's reported income tax liability had been materially understated; and (iii) as a result of the foregoing, the Company's effective tax rate would now be significantly higher and the Company will likely have to pay back taxes and fines in excess of $100 million.
On September 24, 2004, after the close of the market for regular trading, the Company disclosed that it had received a grand jury subpoena issued by the U.S. Attorney's Office for the Southern District of New York seeking documents related to commissions paid by the Company to one of its non-U.S. subsidiaries. According to the press release, "the investigation is focused on whether the commission rate is appropriate." In response to this announcement, on September 27, 2004, the next trading day, shares of Tommy Hilfiger common stock fell to an intra-day low of $9.75 per share, before closing down $2.87 per share for the day, or almost 22%, at $10.30 per share.
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 Tommy Hilfiger and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Tommy Hilfiger, through its subsidiaries, designs, sources and markets men's and women's sportswear, jeanswear and childrenswear under the Tommy Hilfiger trademarks.
The complaint alleges that, throughout the Class Period, defendants issued numerous statements and filed quarterly and annual reports with the United States Securities and Exchange Commission regarding the Company's current financial performance and future earnings. As alleged in the complaint, these statements were materially false and misleading because defendants knew, but failed to disclose: (i) that the Company had engaged in an improper tax avoidance scheme whereby it shifted certain of its income to lower tax jurisdictions through the overpayment of commissions to one of its non-U.S. subsidiaries; (ii) that, since at least 1999, the Company's reported income tax liability had been materially understated; and (iii) as a result of the foregoing, the Company's effective tax rate would now be significantly higher and the Company will likely have to pay back taxes and fines in excess of $100 million.
On September 24, 2004, after the close of the market for regular trading, the Company disclosed that it had received a grand jury subpoena issued by the U.S. Attorney's Office for the Southern District of New York seeking documents related to commissions paid by the Company to one of its non-U.S. subsidiaries. According to the press release, "the investigation is focused on whether the commission rate is appropriate." In response to this announcement, on September 27, 2004, the next trading day, shares of Tommy Hilfiger common stock fell to an intra-day low of $9.75 per share, before closing down $2.87 per share for the day, or almost 22%, at $10.30 per share.
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.
If you feel you qualify for damages or remedies that might be awarded in this class action please fill in our form on the right to submit your complaint.
If your injustice does not match the complaint described above, please use this form to register your complaint. Thank you.