SHAREHOLDER ALERT: Pomerantz Law Firm Announces the Filing of a Class Action
against Expedia, Inc. and Certain Officers -- EXPE
NEW YORK, Aug. 30, 2013
NEW YORK, Aug. 30, 2013 /PRNewswire/ --Pomerantz Grossman Hufford Dahlstrom &
Gross LLP announces the filing of a class action lawsuit against Expedia, Inc.
("Expedia" or the "Company")(NASDAQ: EXPE) and certain of its officers. The
class action, filed in United States District Court, Western District of
Washington, on behalf of a class consisting of all persons or entities who
purchased or otherwise acquired securities of Expedia between July 27, 2012
and July 25, 2013 both dates inclusive (the "Class Period"). This class action
seeks to recover damages against the Company and certain of its officers and
directors as a result of alleged violations of the federal securities laws
pursuant to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934
and Rule 10b-5 promulgated thereunder.
If you are a shareholder who purchased Expedia securities during the Class
Period, you have until October 28, 2013 to ask the Court to appoint you as
Lead Plaintiff for the class. A copy of the Complaint can be obtained at
www.pomerantzlaw.com.To discuss this action, contact Robert S. Willoughby at
firstname.lastname@example.org or 888.476.6529 (or 888.4-POMLAW), toll free, x237.
Those who inquire by e-mail are encouraged to include their mailing address,
telephone number, and number of shares purchased.
Expedia, Inc., together with its subsidiaries, operates as an online travel
company in the United States and internationally.
The Complaint alleges that throughout the Class Period, Defendants made
materially false and misleading statements regarding the Company's business
and operations. Specifically, Defendants made false and misleading statements
and/or failed to disclose that:(a) that following the spin-off, TripAdvisor
had been directing a significant amount of lucrative web traffic to Expedia
pursuant to an informal strategic partnership between the two companies that
inured to the benefit of Expedia and to the detriment of TripAdvisor; (b) that
the lucrative web traffic directed to Expedia from TripAdvisor following the
spin-off had been a material source of Expedia's outsized revenues following
the spin-off; (c) that TripAdvisor would stop directing web traffic to Expedia
in early 2013; and (d) that performance at the Company's Hotwire unit was
On July 25, 2013, after the close of trading, Expedia issued a press release
announcing its second quarter 2013 financial results for the quarter ended
June 30, 2013. Expedia's second-quarter 2013 profit fell to $71.5 million from
$105.2 million a year earlier. Overall, bookings rose only 13%, well below the
19% surge the Company posted during fiscal 2012. The Company also lowered its
guidance for 2013 adjusted earnings, predicting growth in the mid to high
single digits. In response to this announcement, on July 26, 2013, the price
of Expedia common stock declined $17.80 per share - or more than 27% - on
extremely high trading volume. On this news, Expedia shares declined $17.80
per share or nearly 27%, to close at $47.20 per share on July 26, 2013.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and San Diego,
is acknowledged as one of the premier firms in the areas of corporate,
securities, and antitrust class litigation. Founded by the late Abraham L.
Pomerantz, known as the dean of the class action bar, the Pomerantz Firm
pioneered the field of securities class actions. Today, more than 70 years
later, the Pomerantz Firm continues in the tradition he established, fighting
for the rights of the victims of securities fraud, breaches of fiduciary duty,
and corporate misconduct. The Firm has recovered numerous multimillion-dollar
damages awards on behalf of class members. See www.pomerantzlaw.com.
Robert S. Willoughby
Pomerantz Grossman Hufford Dahlstrom & Gross LLP
SOURCE Pomerantz Grossman Hufford Dahlstrom & Gross LLP
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