FAIRWAY INVESTIGATION INITIATED BY FORMER LOUISIANA ATTORNEY GENERAL: Kahn Swick & Foti, LLC Investigates Fairway Group Holdings Corp. Following Disappointing Results, CEO Retirement and Analysts Downgrades
NEW ORLEANS--(BUSINESS WIRE)--Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF has commenced an investigation into Fairway Group Holdings Corp. (Nasdaq: FWM).
On February 6, 2014, Fairway announced its results for the fourth quarter of 2014, disclosing that it had a net loss of 74 cents per share, a bigger loss than the 70-cent per share loss analysts expected, and revenue of only $205.7 million, which was $2 million less than what analysts expected. Additionally, Fairway’s same-store sales declined by 1.7% due, in part, to a compressed holiday shopping period and the beneficial impact of Sandy in the year earlier due to a pre- and post-storm stock-up. Fairway also announced that its Chief Executive Officer Herbert Ruetsch would retire after 15 years with the company, including the last 2 years as CEO. William Sanford, President of Fairway, will assume the role of Interim-CEO.
On this news, Fairway was downgraded by multiple analysts, and the price of its shares plummeted by 29%—from $11.43 on February 6 to $8.12 on February 7, 2014.
KSF’s investigation is focusing on whether Fairway and/or its officers and directors violated state or federal securities laws.
If you have information that would assist KSF in its investigation, or would like to discuss your legal rights, you may, without obligation or cost to you, e-mail or call KSF Managing Partner Lewis Kahn (email@example.com) or KSF Partner Melinda Nicholson (firstname.lastname@example.org) toll free at 1-877-515-1850.
About Kahn Swick & Foti, LLC
KSF, whose partners include the Former Louisiana Attorney General Charles C. Foti, Jr., is a law firm focused on securities class action and shareholder derivative litigation with offices in New York and Louisiana. KSF's lawyers have significant experience litigating complex securities class actions nationwide on behalf of both institutional and individual shareholders.
To learn more about KSF, you may visit www.ksfcounsel.com.