Gilman Law Investigates Lawsuit Against Hospira, Inc.
Gilman Law LLP, a leading national securities law firm, is actively investigating shareholder allegations that Hospira, Inc. (“Hospira”) and certain of its officers and directors made materially false and misleading statements or failed to disclose material information related to the company’s business and operations in violation of the Securities Exchange Act of 1934.
For over 30 years, the lawyers at Gilman Law have been involved in all major aspects of securities fraud litigation. The firm specializes in cases involving stock manipulation, securities fraud, and shareholder rights violations. A shareholder class action lawsuit was commenced in the United States District Court for the Northern District of Illinois. If you purchased or otherwise acquired shares of Hospira, Inc. (NYSE: HSP) between March 24, 2009 and October 17, 2011 (“Class Period”), and either lost money on the transaction or still hold the shares, you may contact Gilman Law LLP by January 20, 2012 to discuss your rights, including as to recovery of your losses or to obtain additional information.
Hospira Allegedly Issued False and Misleading Information that Artificially Inflated Stock Prices
Located in Lakepark, Illinois, Hospira is a global specialty pharmaceutical and medication delivery company that specializes in injectable drugs and infusion technologies. The complaint alleges that during the Class Period, Hospira failed to disclose that the Company suffered from extensive quality control issues which undermined both the viability of and the supposed financial savings that would be generated by Project Fuel. Project Fuel is a program designed to optimize Hospira’s operations and increase shareholder value. Hospira allegedly was also unable to remedy problems indentified in FDA Warning Letters related to Hospira’s infusion pumps, quality control deficiencies and manufacturing weaknesses.
The lawsuit further alleges Defendants lacked a reasonable basis for their positive statements about the company, its prospects and growth, and that these false statements caused Hospira’s stock to trade at artificially inflated prices during the Class Period.
Due to the ongoing FDA investigation, the production at the Rocky Mount, North Carolina manufacturing plant, which accounts for approximately 25% of the Company’s sales, was severely impacted.
On October 18, 2011, the Company announced disappointing preliminary third quarter financial results and lower than expected full-year guidance. As a result of this news, Hospira’s common stock fell $7.85 per share to close at $29.51 per share of October 18, 2011.
Gilman Law has extensive experience representing both individual and institutional investors in securities class action suits. Gilman Law has recovered over a billion dollars for its clients and can help you recover any losses that you have incurred as a result of Hospira’s fraudulent practices. For a free evaluation of your case or to obtain additional information, please complete our free consultation form or CALL TOLL FREE (888) 252-0048.