Berman DeValerio Files Securities Class Action Lawsuit against Atlantic
BOSTON -- April 23, 2013
The law firm of Berman DeValerio filed a securities class action lawsuit today
against Atlantic Power Corporation (NYSE: AT)(“Atlantic Power” or the
“Company”) and certain of its officers (collectively, with Atlantic Power, the
The lawsuit alleges violations of United States securities laws on behalf of
purchasers of Atlantic Power securities from July 23, 2010 through and
including March 4, 2013 (the “Class Period”). The complaint was filed April
23, 2013 in the United States District Court for the District of
Massachusetts, as Dornan v. Atlantic Power Corporation et al., 1:13-cv-10991
Headquartered in Boston and incorporated in British Columbia, Atlantic Power
is a power generation and infrastructure company with assets in the United
States and Canada. The Company is engaged in power generation through
hydroelectric, natural gas and coal-fired power plants, selling electricity to
utilities and other large commercial customers. Atlantic Power’s shares trade
under the ticker symbols “TSX” and “ATP” on the Toronto Stock Exchange and,
since July 23, 2010, under the ticker symbol “AT” on the New York Stock
During the Class Period, Atlantic Power paid investors a dividend of 10% of
its profits, a much larger dividend than the 4% maximum typically paid by
other publicly traded utility companies. The Company assured investors
throughout the Class Period about the safety of the dividend through a series
of news releases and Securities and Exchange Commission (“SEC”) filings that
omitted crucial and relevant material about the dividend’s safety.
Then, on February 28, 2013, Atlantic Power disclosed that it was cutting its
monthly dividend by 65% beginning in March 2013. As a result, shares of the
Company’s stock declined $2.85, or 29%, to close at $7.12 per share on March
The Company’s stock price fell another $1.21 per share to close at $5.91 On
March 4, 2013, the same day the Royal Bank of Canada issued a research report
questioning the long-term sustainability of the Company’s dividends, even
after the cuts, and stating that the company would need to raise significant
additional debt and common equity in 2014 and 2015 to finance its growth
Throughout the Class Period, the Defendants made false and/or misleading
statements and failed to disclose material adverse facts about the Company’s
business, operations and prospects. As a result, Atlantic Power common stock
traded at artificially inflated prices, closing at a Class Period high of
$16.25 per share on July 22, 2011.
The lawsuit alleges claims on behalf of all Class Period investors under
Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, 15 U.S.C. §§
78j(b) and 78t(a), and Rule 10b-5 promulgated thereunder by the United States
Securities and Exchange Commission. It names as defendants the Company; Chief
Executive Officer and President Barry E. Welch; interim Chief Financial
Officer Lisa J. Donahue; and Chief Financial Officer and Executive Vice
President Terrence Ronan.
Please click on the link to receive a copy of the Atlantic Power complaint or
call Berman DeValerio at (800) 516-9926.
If you are a member of the class, you may, no later than May 7, 2013, request
that the court appoint you as lead plaintiff for the class. You may contact
Berman DeValerio to discuss your rights and interest in the case. Please note
that you may also retain counsel of your choice or, alternatively, take no
action at this time, in which case you will still remain a class member.
Berman DeValerio (www.bermandevalerio.com) is a national law firm representing
investors for violations of securities and antitrust laws. The firm has 38
lawyers in Boston, San Francisco and Palm Beach Gardens, Florida.
Daryl Andrews, Esq., 800-516-9926
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