The Shareholders Foundation announces that an investor who currently holds NYSE:JWN shares filed a lawsuit against directors of Nordstrom, Inc. (NYSE:JWN) over alleged breaches of fiduciary duties in connection with costs of private airplanes for members of the Nordstrom family.
Investors who purchased shares of Nordstrom, Inc. (NYSE:JWN) and currently hold any of those Nordstrom, Inc. (NYSE:JWN shares have certain options and should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 – 1554.
The plaintiff claims that the defendants hid from NYSE:JWN stockholders the costs of operating a fleet of private airplanes for members of the Nordstrom family. The plaintiff says that claims Nordstrom has filed for years certain false and misleading statements with the U.S. Securities and Exchange Commission that mask substantial costs associated with operating the planes while rubber-stamping related party transactions with the family.
More specifically, the plaintiff alleges that while Nordstrom, Inc. has claimed in SEC filings that the company charges members of the Nordstrom family market prices for services it provides them and that payments it receives from members of the Nordstrom family exceed the estimated costs of providing those services, the board of directors of Nordstrom Inc has allegedly never conducted any analysis of the costs of providing the services to the Nordstrom family. Furthermore, the plaintiff claims that Nordstrom shareholders pay millions of dollars for a vast and bloated aviation department (‘Flight Department’) to serve the needs of the Nordstrom family and that the company leases vastly more hanger space than it needs at King County International Airport, and subleases the excess space to Nordstrom family members for their personal planes.
Nordstrom, Inc. reported that its Total Revenue rose from over $12.13 billion for the 53 weeks period that ended on February 2, 2013 to over $13.5 billion for the 52 weeks period that ended on January 31, 2015 and that its respective net Income declined from $735 million to $720 million. Shares of Nordstrom, Inc. (NYSE:JWN) grew from $46.80 per share in June 2012 to as high as $83.16 per share on March 23, 2015.
Those who purchased shares of Nordstrom, Inc. (NYSE:JWN), have certain options and should contact the Shareholders Foundation.
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