Insider Selling/Undisclosed Related Party Transactions
Product or Service
This is a securities fraud class action lawsuit against Plexus Corporation and certain of its officers and directors.
Plexus, together with its subsidiaries, operates in the electronics manufacturing service industry.
The class action complaint alleges that Plexus issued a series of materially false and misleading statements concerning Plexus, its business, operations and prospects.
Unbeknownst to shareholders, the true facts were that Plexus was experiencing softness in its defense market segment and was not performing according to internal expectations and that Plexus' United Kingdom operations were in decline and would have to be reorganized.
Prior to the disclosure of the true facts about Plexus, Plexus insiders sold more than $26 million dollars of their personally-held shares to the unsuspecting public.
On July 26, 2006, after the markets closed, Plexus announced lower than expected financial results for its 2006 fiscal third quarter and reduced the Company's earnings guidance for its 2006 fiscal fourth quarter. In response to this announcement, the price of Plexus common stock fell $10.71 per share, or approximately 32%, to close at $22.89 per share, on extremely heavy trading volume.
Name (Stock Symbol)
Plexus Corporation (PLXS)
Plexus Corporation, together with its subsidiaries, provides contract electronic manufacturing services.
The information provided on ClassAdvocate.com is general in nature,
does not apply to any particular factual situation, and is not and
should not be taken as legal or other professional advice. We make no
commitment or warranty that the factual, legal or any other information
on ClassAdvocate.com, or on any linked website, is accurate, complete,
error-free, or current. As such, you should not rely on such information,
and should seek professional advice if and as you determine appropriate.
ClassAdvocate.com is not a lawyer referral service, and no attorney-client
or confidential relationship is or should be formed by use of the site.
The investigations listed on ClassAdvocate.com are attorney advertisements
and do not in any way constitute a referral or endorsement by ClassAdvocate.com
or any approved or authorized lawyer referral service.