BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors that purchased Foot Locker, Inc. (“Foot Locker” or the “Company”) (NYSE: FL) securities between August 19, 2016 and August 17, 2017, inclusive (the “Class Period”). Foot Locker investors have May 8, 2018 to file a lead plaintiff motion.
Investors suffering losses on their Foot Locker investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to howardsmith@howardsmithlaw.com.
On August 18, 2017, Foot Locker announced poor second quarter 2017 financial results, including a 6% decline in quarterly same-store sales year-over-year. In addition, Foot Locker disclosed that it would close approximately 130 stores, which was up from 100 it had previously stated it would close. Finally, on its Q2 2017 conference call with investors and analysts, Foot Locker revealed that it expected weaker sales for the remainder of fiscal year 2017.
On this news, shares of Foot Locker fell nearly 28%, to close at $34.38 on August 18, 2017, thereby injuring investors.
The Complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Foot Locker’s vendors were transitioning to selling through various online retailers, diminishing the utility of Foot Locker’s large number of brick and mortar stores and the once-high value of its exclusivity relationships with those vendors; (ii) competition with online retailers had increased the pricing competition Foot Locker faced while concomitantly lowering demand at its stores; and (iii) as a result, Defendants’ statements about Foot Locker’s business, operations and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
If you purchased shares of Foot Locker, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.
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