The Shareholders Foundation announces that an investor in shares of International Business Machines Corp. (NYSE:IBM) filed a lawsuit in the over alleged violations of Federal Securities Laws by International Business Machines Corp.
Investors who purchased shares of International Business Machines Corp. (NYSE:IBM) have certain options and for certain investors are short and strict deadlines running. Deadline: May 01, 2015. NYSE:IBM investors should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 – 1554.
According to the complaint the plaintiff alleges on behalf of purchasers of International Business Machines Corp. (NYSE:IBM) common shares between April 17, 2014 and October 17, 2014, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between April 17, 2014 and October 17, 2014 defendants issued allegedly false and misleading statements and/or allegedly omitted adverse facts regarding the true value of International Business Machines’ micro-chip manufacturing operations, known as its Microelectronics business.
The plaintiff alleges that defendants failed to record an impairment in the value of International Business Machines’ Microelectronics business in conformity with applicable accounting standards, which allegedly materially inflated International Business Machines’ earnings between April 17, 2014 and October 17, 2014 and rendered International Business Machines’ 2014 earnings guidance materially false and misleading.
The plaintiff says that Defendants’ statements and/or omissions between April 17, 2014 and October 17, 2014 caused NYSE:IBM’s common stock to trade at artificially inflated prices, reaching a high of over $196 per share.
On October 20, 2014, International Business Machines Corp. announced that International Business Machines Corp. and GLOBALFOUNDRIES have signed an agreement under which GLOBALFOUNDRIES plans to acquire International Business Machines’ global commercial semiconductor technology business, including intellectual property, world-class technologists and technologies related to IBM Microelectronics, subject to completion of applicable regulatory reviews. International Business Machines Corp said that itwill reflect a pre-tax charge of $4.7 billion in its financial results for the third quarter of 2014, which includes an asset impairment, estimated costs to sell the IBM microelectronics business, and cash consideration to GLOBALFOUNDRIES. Cash consideration of $1.5 billion is expected to be paid to GLOBALFOUNDRIES by IBM over the next three years.
The plaintiff says that Defendants also updated International Business Machines’ 2014 guidance, stating that rather than the Company’s earlier guidance of $18 per share, operating earnings per share for 2014 would decline between 2% and 4% compared to $16.64 per share in 2013.
International Business Machines Corp. reported that its annual Total Revenue declined from over $98.36 billion in 2013 to over $92.79 billion in 2014 and that its respective Net Income declined from over $16.48 billion in 2013 to over $12.02 billion in 2014.
Shares of International Business Machines Corp. (NYSE:IBM) declined from $214.92 per share in March 2013 to as low as $151.41 per share in December 2014.
On March 17, 2015, NYSE:IBM shares closed at $156.96 per share.
Those who purchased shares of International Business Machines Corp. (NYSE:IBM) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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