NEW YORK, May 22, 2015 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a class action lawsuit has been filed in United States District Court for the Northern District of Texas on behalf of those who purchased shares of Global Power Equipment Group Inc. ("Global Power" or the "Company") (NYSE:GLPW) during the period between March 9, 2015 and May 6, 2015 inclusive (the "Class Period"). Wolf Haldenstein encourages all shareholders who suffered losses on shares purchased within the class period to contact us immediately at (800) 575-0735 or email classmember@whafh.com prior as the lead plaintiff deadline is July 13, 2015.
The complaint alleges that during the Class Period, defendants made false and misleading statements and failed to disclose the following (i) the Company's cost of sales in its financial statements for the annual period ended December 31, 2014 were understated; (ii) the Company lacked adequate internal controls over its financial reporting; and (iii) as a result of the foregoing, the Company's financial statements were materially false and misleading at all relevant times.
On May 6, 2015, the Company announced in a Securities and Exchange Commission ("SEC") filing that "[i]t will delay the filing of its Form 10-Q for the first quarter of 2015 and restate its financial results for the annual period ended December 31, 2014. As a result, the Company is also withdrawing its previously issued earnings guidance for 2015 at this time. On May 5, 2015, the Audit Committee of the Board of Directors of Global Power, in consultation with its outside advisors and management, concluded that the financial statements for the annual period ended December 31, 2014 should not be relied upon because of accounting errors affecting the fourth quarter of 2014 that were discovered during the first quarter 2015 financial review process. Those errors resulted in an understatement of the Company's cost of sales in the quarterly and annual periods ended December 31, 2014.”
Following this news, shares of Global Power fell $4.05 per share, over 33%, to close at $8.19 on May 7, 2015.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein Adler Freeman & Herz LLP by telephone at (800) 575-0735, via e-mail at classmember@whafh.com, or visit our website at www.whafh.com. All e-mail correspondence should make reference to the “CHC investigation.”
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