BOULDER, Colo.--(BUSINESS WIRE)--The Shuman Law Firm announces that it is investigating potential claims against certain officers and directors of Advanced Emissions Solutions, Inc. (“Advanced Emissions” or the “Company”) (Nasdaq: ADES). Advanced Emissions is a Colorado-based company that provides environmental technologies and specialty chemicals to the coal-burning electric power generation industry primarily in the United States.
The Firm’s investigation relates to the Company’s March 13, 2014 announcement that the Company will delay filing its annual report on Form 10K for 2013. Advanced Emissions said in a press release that “The Company is currently reviewing its accounting practices, particularly its methods of recognizing revenue for its Emission Control business segment contracts. The Company expects the result of this review will likely result in increased operating losses, primarily driven by a reduction of revenues and margins for its emission control segment with a corresponding increase in backlog for the same period.”
On April, 24, 2014, the Company "announced that it is continuing with its extensive accounting review and at this time is unable to file its Annual Report on Form 10-K for the fiscal year ended Dec 31, 2013. The company has concluded that it has a material weakness related to its internal controls for recognizing revenue for its systems and equipment contracts in the Emissions Control business segment and should have applied the cost to cost methodology to measure progress on the EC Contracts rather than labor hours. In addition, the company has identified errors in its accruals, the most significant of which was for interest expense associated with Internal Revenue Code Section 453A interest on deferred taxes related to installment gains. The company has identified significant deficiencies in its controls over financial reporting that may result in additional material weaknesses." As a result of these events, multiple class action lawsuits have been filed against the Company and its senior management.
If you currently own Advanced Emissions common stock and are interested in discussing your rights, or have information relating to this investigation, please contact Kip B. Shuman or Rusty E. Glenn toll free at (866) 974-8626 or email Mr. Shuman at firstname.lastname@example.org or email Mr. Glenn at email@example.com.
The Shuman Law Firm represents investors throughout the nation, concentrating its practice in stockholder litigation.