NEW YORK, March 02, 2020 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Fluor Corporation (“Fluor” or the “Company”) (NYSE: FLR) in the United States District Court for the Northern District of Texas on behalf of those who purchased or acquired the securities of Fluor between November 2, 2017 and February 14, 2020, inclusive (the “Class Period”). The lawsuit seeks to recover damages for Fluor investors under the federal securities laws.
The Complaint alleges that Defendants inflated Fluor’s revenue and earnings by improperly recognizing revenue on 16 separate projects (“2Q 2019 Projects”). The truth emerged through a series of disclosures beginning on May 2, 2019, when Fluor announced the immediate departure of its CEO, David T. Seaton, significantly reduced its earnings guidance, and disclosed that Fluor was taking charges of over $100 million on various projects due, in part, to Fluor’s “revenue recognition” practices. Then, on August 1, 2019, Defendants revealed that Fluor would be taking a $714 million charge on the 2Q 2019 Projects, including incurring a $233 million charge on Fluor’s project at the Radford Army Ammunition Plant (the “Radford Project”). Finally, on February 18, 2020, Defendants revealed that the SEC was investigating Fluor’s revenue recognition practices related to the 2Q 2019 Projects and had requested information related to those projects. In addition, Defendants announced that Fluor had also commenced an internal investigation into the 2Q 2019 Projects, “focusing initially on the Radford [Project].” As a result of these disclosures, the price of Fluor common stock declined precipitously.
Investors who purchased or otherwise acquired shares of Fluor during the Class Period should contact the Firm prior to the April 28, 2020 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish 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.
Please visit our website at http://www.gme-law.com for more information about the firm.