WAYNE, Pa.--(www.rmclasslaw.com/cases/pcxcq) announces that a class action lawsuit has been filed in the United States District Court for the Eastern District of Missouri, on behalf of purchasers of Patriot Coal Corporation (OTC: PCXCQ) ("Patriot Coal" or the "Company") shares between October 21, 2010 and July 6, 2012 (the "Class Period").)--Ryan & Maniskas, LLP (
For more information regarding this class action suit, please contact Ryan & Maniskas, LLP (Richard A. Maniskas, Esquire) toll-free at (877) 316-3218 or by email at firstname.lastname@example.org or visit: www.rmclasslaw.com/cases/pcxcq.
The complaint alleges that during the Class Period, certain of Patriot Coal's officers issued materially false and misleading statements regarding the Company's business prospects. Specifically, the complaint alleges that defendants violated Generally Accepted Accounting Principles and U.S. Securities and Exchange Commission ("SEC") rules by failing to properly account for costs associated with Court-ordered remediation obligations related to the Company's selenium water treatment requirements. In particular, defendants improperly capitalized these costs instead of recording them as expenses, thereby overstating the Company's financial results.
In response to comments received from the SEC regarding the Company's accounting for the court-ordered remediation costs, defendants were forced to reveal that the Company's previously issued consolidated financial statements for the years ended December 31, 2011 and December 31, 2010 should no longer be relied upon. Moreover, defendants admitted that it was necessary to restate the Company's previously issued consolidated financial statements to accrue a liability and recognize a loss for the estimated costs of installing the Court-ordered water treatment facilities.
On July 9, 2012, Patriot Coal announced that the Company and substantially all of its wholly owned subsidiaries have filed voluntary petitions for reorganization under Chapter 11 of the Bankruptcy Code. Following this news, the price of Patriot Coal shares dropped 72% -- from a closing pricing of $2.19 per share on July 6, 2012, to a closing price of $0.61 per share on July 9, 2012.
If you are a member of the class, you may, no later than November 21, 2012, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Ryan & Maniskas, LLP or other counsel of your choice, to serve as your counsel in this action.
For more information about the case or to participate online, please visit: www.rmclasslaw.com/cases/pcxcq or contact Richard A. Maniskas, Esquire toll-free at (877) 316-3218, or by e-mail at email@example.com. For more information about class action cases in general or to learn more about Ryan & Maniskas, LLP, please visit our website: www.rmclasslaw.com.
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