NEW YORK, Apr. 15, 2015 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed in the United States District Court for the Northern District of Illinois on behalf of all persons or entities that purchased the securities of Walgreens Co. (“Walgreens” or the “Company”) (Nasdaq:WBA) between March 25, 2014 and August 5, 2014, inclusive (the “Class Period”), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the “Complaint”).
The Complaint alleges that during the Class Period, defendants issued false and misleading statements and/or failed to disclose adverse information regarding the purported benefits of Walgreens’ strategic joint venture with Alliance Boots GmbH. Specifically, the Complaint alleges that defendants publicly announced goals for fiscal year 2016 of $1 billion in combined synergies and $9.5 billion in adjusted earnings for the combined entity, but did not reveal a nearly $2.3 billion fiscal year 2016 earnings shortfall.
Then on August 4, 2014, Walgreens announced that its CFO, defendant Wade Miquelon, would resign. Two days later, on August 6, 2014, defendants lowered the fiscal year 2016 adjusted earnings target to $7.2 billion, $2.3 billion below the high-end of the range that they had previously announced to investors. Following these disclosures, Walgreens’ share price declined, falling from a close of $69.12 per share on August 5, 2014 to a close of $59.21, a drop of over 14% per share on August 6, 2014.
If you wish to serve as lead plaintiff, you must move the Court no later than June 9, 2015. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to join the litigation, or to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.
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